Gap Insurance

[priusmaybe]

Who really needs Gap Insurance?

[galaxee]

someone who owes more than their car is worth and can't afford to cough up the difference in case their car is totalled.

being "upside down" on a loan is a scary thing, but many people are.

[Godiva]

<div class='quotetop'>QUOTE(priusmaybe @ Apr 30 2007, 10:36 PM) [snapback]433027[/snapback]</div>

Who really needs Gap Insurance?
[/b]

Ask Lively Chick.

[peanutmac]

If you have teen aged drivers you need gap insurance .

It paid off for me when my son totaled his car. And now days it does not take a lot for the insurance companys to "total" a car.

[zqfmbg]

I'm on the interest-free 24 month loan. The finance guy skipped over the gap insurance spiel, saying I was unlikely to ever be upside-down on the loan. I guess it makes sense, even with the adage that cars lose half their value in the first year

[rigormortis]

this is another one of those departments that the dealer likes to force on you. keep in mind you can get gap insrurance from just about anywhere you do not have to take the dealers gap carrier. your own insurance company might even include gap coverage in your policy if you notify them of the purchase

[Rangerdavid]

Actually, Kelly Blue Book has my "06 listed at $18,225 for "Trade In Value" right now. However, the "suggested retail Value" (what a dealer may charge for the vehicle) is $25,390. Who knows, that one vehicle I've totalled, I was glad to have the gap insurance. But it will depend on the vlaue of your car, the length of your loan, etc.

[livelychick]

<div class='quotetop'>QUOTE(Godiva @ May 1 2007, 12:12 AM) [snapback]433045[/snapback]</div>

Ask Lively Chick.
[/b]

Yep. I needed it, and it worked. I recommend it to anyone who isn't paying a lot down on a new car.

(Or, like me, rolling negative equity into a new car...)

[Darken]

<div class='quotetop'>QUOTE(livelychick @ May 1 2007, 08:28 AM) [snapback]433139[/snapback]</div>

Yep. I needed it, and it worked. I recommend it to anyone who isn't paying a lot down on a new car.

(Or, like me, rolling negative equity into a new car...)
[/b]

Trust me (And lively chick) its worth the extra $200. I needed it when a friend totalled our '00 corolla which was conventionally financed with zero negative equity. So its not just for negative equity situations...(in that case you should always consider it)...otherwise you could be up a creek in a situation like lively chicks...

When we bought our Prius we actually had to ask them for it this time...(bet they were surprised)

[Highly ImPriused]

<div class='quotetop'>QUOTE(Darken @ May 1 2007, 10:40 AM) [snapback]433201[/snapback]</div>

Trust me (And lively chick) its worth the extra $200. I needed it when a friend totalled our '00 corolla which was conventionally financed with zero negative equity. So its not just for negative equity situations...(in that case you should always consider it)...otherwise you could be up a creek in a situation like lively chicks...

When we bought our Prius we actually had to ask them for it this time...(bet they were surprised)
[/b]

Gap insurance pays the difference between the market value of your car and the amount you still owe on it when it's totaled. If you don't owe more than it's worth, gap insurance does not benefit you in any way that I know of.