OUT-OF-POCKET LOSS
Without GAP protection, you may have to keep paying for a vehicle you can no longer drive. It can be very difficult to get a new auto loan with an existing, unsettled auto loan balance still on your credit file. This unpaid balance is typically thousands of dollars for the average consumer.
Millions of vehicles are totaled each year by collision, theft, and natural disasters. Customers are often surprised to learn that their auto insurance settlement is thousands of dollars less than what they owe on their auto loan or lease. Loan term longer than 4 years or that included less than a 20% down payment are at even greater risk.
