What is Gap Insurance?

What does gap insurance do if your car is totaled? This coverage will keep you protected against owing money on a vehicle you can't drive by making up the difference between what you own on your auto loan and the cash value your traditional insurance policy will payout. Fletcher Jones Audi shares more on the coverage and benefits of gap insurance today. 

What Does Gap Insurance Cover & Exclude? 

What does gap insurance cover and what doesn't it protect against? It will protect against damage to your vehicle, but it will not cover property damages, death, and bodily injury. Fletcher Jones Audi provides a comprehensive list below:

Gap Insurance Protects Against 

• Acts of nature (flood, hurricane, tornado, etc.)
• Fire
• Vandalism
• Accident
• Theft

Gap Insurance DOES NOT Protect Against

• Deductible (a few policies will allow for this, so check your individual plan)
• Mechanical malfunctions or repairs
• Engine failures 
• Extended warranties
• Death

So, what does gap insurance do? It stops you from taking a hit and still owing on a vehicle after it's been totaled due to any of the covered reasons listed above. 

Gap Insurance- Should I get it? 

It's important to note that while gap insurance is beneficial, it's not required and it doesn't make sense in every situation. Vehicles that are paid for in full will not benefit from gap insurance, and some pre-owned models also may not need gap insurance depending on how much they've depreciated before purchase. New vehicles that are being financed, on the other hand, will greatly benefit from gap insurance. If you're not sure if you should add gap insurance, feel free to reach out to the Fletcher Jones Audi finance center today!

Get the Right Vehicle Protection in Highland Park

With the busy streets of the Gold Coast and the rough Bucktown winters, accidents can happen. Find out more about making sure your vehicle has the right level of protection with Fletcher Jones Audi. Our representatives are standing by to help you!