|
|
| Vehicle Actual Cash Value |
$11,000 |
| Insurance Deductible |
$500 |
| Balance |
$10,500 |
| Outstanding Loan Balance |
$15,000 |
| Insurance Settlement (Above) |
$10,500 |
| Remaining Balance |
$4,500 |
| Your GAP Amount |
$4,500 |
|
GAP Coverage
What is GAP Coverage?
If your vehicle is totaled or stolen, your insurance company settlement can be significantly less than what you owe on the loan or lease. This creates a "gap" in coverage, which could result in a serious financial hardship. This "gap" that you owe may even jeopardize the repayment of your loan. Fortunately, AAA offers GAP Coverage to relieve you of the responsibility of the remaining loan or lease balance that your primary insurance carrier does not cover.
What does GAP cover?
GAP covers you from the difference between your outstanding loan or lease balance and the actual cash value of the vehicle (primary insurance company settlement). GAP also covers up to $1,000 of your deductible if there is a "gap" after the primary insurance settlement is paid. This is covered as part of the deficiency balance and is not paid directly to you.
KEY FEATURES INCLUDE:
- Low cost protections
- Eliminates the out-of-pocket expense for the remaining loan balance after loss settlement
- Helps you avoid financial hardship and afford a replacement vehicle
- Prevents deficiency balance from being added to new loan
- Helps protect your credit rating
Call 1-800-866-2111
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*Some limitations may apply.