Why You Shouldn't Drive Without GAP Insurance

Did you know that the value of your car goes down by about 20 percent immediately after you buy it? If you don't, then it's something you might learn the hard way.

Why? Because many of the "comprehensive" coverage plans that people rely on to protect their cars only offer market value compensation in the case of a total loss accident. If you wreck your brand new car, you could be left in a situation where the check you get from your insurance company only covers a portion of the money you owe on the car.

"negative equity" got me like 🙀 ☠️ #adulting https://t.co/4it7FAuTp2

— Adulting101.how (@adulting101how) September 25, 2017

GAP insurance eliminates that possibility. When you have GAP insurance, you're protected against the depreciation value of your car. If an accident occurs, you'll be given enough money to cover the remainder of your loan. You won't need to dip into your own pockets to pay for the costs of depreciation.

When you purchase your next car, talk to the finance center at Dorsch Ford in Green Bay, WI. Our experts are on standby to answer any questions and furnish you with all the information you need about GAP insurance.

Categories: Finance
; ;