Is Gap Insurance Worth It?

Is Gap Insurance Worth It?

When it’s time to purchase a new vehicle in the Provo area, you may be thinking about getting offers for unnecessary coverages and services. With that said, gap insurance coverage is an option you should consider. Learn more about gap insurance with the team at Orem Toyota, and contact our finance center with additional questions!

What is Gap Insurance?

Gap (Guaranteed Asset Protection) insurance covers the difference (or the “gap”) between the cash value of your car and the amount that you still owe on it – this includes vehicles with a lease or loan.

Do I Need Gap Insurance?

Is gap protection worth it? Most consumers and experts alike agree that getting gap insurance is worth it. There are several reasons why you should consider gap insurance instead of leaving it to chance on the Provo roads:

• Depreciation happens the moment you drive off the dealership lot.
• Accidents can happen at any time, even right after leaving our Orem dealership.
• Most insurance companies only cover what your vehicle is worth at the time of the accident.
• If your new car is totaled or stolen and you owe more on it than its current worth, the gap coverage covers the difference.
• The cost of gap insurance is fairly low, and it is easy to obtain, so there’s no real reason NOT to have it.

How Do I Buy Gap Insurance?

There are a few ways drivers can get this coverage in Draper:

• Your regular auto insurance company may offer it for as low as $20 per year.
• You may be able to purchase it for a one-time fee from your dealership or car loan company.
• You can get it from a specialized gap insurance company for a one-time fee.

Rely on Orem Toyota for Your Finance & Insurance Needs

Now that we answered, “Is gap insurance worth it?”, it’s time to make the trip to Orem Toyota for your next vehicle purchase. You can explore the warranty options, learn the best place to get a car loan, and use our handy payment calculator to estimate your monthly payments. Be sure to check out our new vehicle specials so you can drive home to the Lehi area in a new Toyota vehicle for less!