Is Gap Insurance Worth It?

gap insurance

If you’re preparing to buy or lease a vehicle, you may be wondering, “Is GAP insurance worth it?” During the transaction, you may be offered services and coverages you don’t want or need. Some, however, are worth a second look. GAP (Guaranteed Asset Protection) is one such coverage. It’s a smart idea to at least consider the benefits of GAP insurance and how it can give you greater peace of mind on Tysons Corner roads.

Do I Need GAP Insurance?

First of all, let’s talk about what GAP insurance is itself. This form of insurance covers the gap between your car’s cash value and the amount you owe on your auto loan. You can get GAP insurance whether you have a loan or lease. So, is GAP protection worth it? Consumers and insurance experts agree that it’s worth the added cost. If you’re still undecided, consider the following:

  • Your vehicle starts to depreciate in value the second you drive it off the dealership’s lot.
  • You can’t always predict an accident. One can happen a year from now, or the moment you leave the dealership in your new car.
  • In most cases, insurance companies will only cover what your car was worth at the time of the accident.
  • GAP coverage helps cover the difference if your vehicle is totaled or stolen and you owe more on the loan than the car’s cash value.
  • There’s no good reason not to have GAP insurance. It’s low-cost and easy to purchase.

How Do I Acquire GAP Insurance?

If you’re interested in purchasing GAP coverage, explore the following options:

  • You may be able to purchase GAP protection from your current auto insurance company for around $20 per year.
  • Your auto loan lender or dealership may be able to offer it for a one-time fee.
  • An insurance company that focuses solely on GAP insurance can provide coverage for a one-time fee.

Learn More About GAP Coverage from Lindsay Volkswagen of Dulles!

From start to finish, Lindsay Volkswagen of Dulles will walk you through the new-car buying or leasing process, and answer questions you may have about insurance coverage and other services. Contact us to learn more about warranty protection or to schedule a test drive near Springfield and Alexandria with any of our new or certified pre-owned Volkswagen vehicles.

Lindsay Volkswagen of Dulles 38.9978364, -77.4331695.