IS GAP INSURANCE WORTH IT?

When you purchase a new vehicle from Morrie's Inver Grove Mazda, you might be asking about your potential insurance options. Purchasing comprehensive insurance coverage covers any damage to your model outside of an accident. But what is Gap protection? Gap insurance covers “the gap” between your vehicle’s current worth and what you still owe. However, many Eagan-area drivers often wonder if this policy is worth it.

Thanks to its low cost and potential savings, many car dealerships and insurance providers recommend purchasing Gap insurance. Learn what gap insurance is on a car with the team at Morrie's Inver Grove Mazda. Discover the benefits of this policy and get pre-approved for financing from the comfort of your home!

WHAT IS GAP INSURANCE ON A CAR?

So, what is Gap protection and what does it cover? Gap insurance—also called Guaranteed Asset Protection—is insurance coverage that covers the difference (or the gap) between the cash value of your vehicle and the amount you still owe on it. This applies to both models that have a lease or loan.

Whether your vehicle is damaged through an environmental disaster or an accident in Eagan, Gap insurance will cover the cost between what your insurance will pay and the current cash value of your vehicle. However, Gap insurance won’t cover bodily injury or property damage. Read below to see what Gap insurance will cover in the event of a total loss:

GAP INSURANCE COVERS:

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

Want to know what else gap insurance covers and doesn’t cover? Get in touch with our finance team for more information!

DO I NEED GAP INSURANCE?

While Gap insurance is optional coverage, it’s recommended that you purchase Gap insurance to protect your assets and your budget. Here are some reasons why many drivers believe Gap insurance is worth it:

• Vehicle depreciation happens the moment you drive off the dealership lot.
• Accidents are unpredictable and can happen at any time. It could be months after you buy your car or the day after.
• Most insurance companies only cover what your vehicle is worth when the accident occurs.
• If your new vehicle is totaled or stolen and you owe more than its current worth, Gap insurance will cover that difference.
• Gap insurance is a relatively low-cost insurance coverage plan and it’s easy to obtain from your local Woodbury insurers.

HOW DO I BUY GAP INSURANCE?

There are several ways to get Gap insurance coverage in Minneapolis.

• Inver Grove Heights auto insurance companies may offer Gap insurance for as little as $20 per year.
• Some dealerships or car loan companies may offer Gap insurance or other vehicle coverage.
• Specialized car insurance companies will offer Gap insurance for a one-time fee.

LEARN MORE ABOUT GAP INSURANCE FOR YOUR CAR

Now that you’ve learned what Gap protection is, it’s time to find the perfect car for your next Eagan-area ride. If you’re still looking for the best option, use our vehicle finder service to browse every available model. You can also reduce what you will owe by trading your current option with our team. Explore all your car buying options near Woodbury with Morrie's Inver Grove Mazda!