Private Gap Insurance

I bought my GAP protection from JM&A when I purchased my Toyota. I almost didn't take it. Then when just six months after purchasing my car, I was in an accident caused by an illegal alien, Geico didn't pay enough to cover the loan. JM&A picked up the rest.

When I bought my new Prius, I specifically asked for the GAP protection. If you are purchasing through a Toyota Dealer they most likely offer JM&A.

 

My gap is thru toyota. AAA offers gap as well, but you have to be a member I think.

 

AM FAM is an expensive one. I'll suggest you to try AAA.

 

I have State Farm auto insurance. They aren't cheapskates like Geico, they pay replacement value.

 

Reboot, I checked out State Farm at renewal time and the one that advertises better vehicle replacement,a car a year newer. Neither one of them was in the same league premiums wise as Geico.

I've only had one claim with Geico. I'll be honest, I put a lot of miles on my vehicles. That drops the value quickly. Having as GAP plan saved me some dollars.


iPad ? HD

 

Kathi,
I'll answer the question first.
Try a Credit Union. Since you're just in the "looking" stage, you should talk to them about getting pre-approved.
CU's currently offer something like 1.9-something for up to 72 months, and they frequently offer GAP as a freebie with their loans. Talk it over with a loan officer at a CU to determine if you need GAP. No you don't need bullet-proof, or even bullet resistant credit to qualify for their lower rates. Really!!! Try it. The worst that can happen is that they deny you, and a good loan officer cangive you a pretty good idea if you'll be approved and for what rate without a credit check if you're honest with them. Most only require $5 to open a savings (share) account, and they're a good bellwether for whether or not you should be trying to buy a new car to begin with!!
If they won't approve you for a new car loan, then you really REALLY should consider kicking the purchase to the right for a little while.

OK so maybe your score isn't all that good and you "really need" a new car.
Been there. That's no reason to get screwed over by the dealer. Try every local small "merchant" bank and see what their rates are, and if they require (or include) GAP. You may be surprised!! Sometimes a small, local bank will kick over on a new car loan when the dealer says that they won't! NEVER, NEVER, NEVER, EVER let the finance manager provide you with the loan until you get some quotes from at least a credit union, and another bank first! Get pre-approved, and then negotiate for the price of the car. Then, offer the finance manager a chance to beat your pre-approved rate. Sometimes......they can.
Also....NEVER, NEVER, NEVER, EVER buy a warranty or GAP from the dealer. You'll always pay more, and you'll also have to pay interest on top of paying more.
You buy (new) CARS at a car dealership, Insurance from a Insurance company, and so on.
Toyota has a pretty poor B2B warranty period, but they do have one, (30/36,000??) Use that time and those miles to save for the extended warranty. Not only do you not have to buy it at the time of sale---you shouldn't!!! What if your car is a victim of fire, flooding, famine, pestilence, civil unrest, or is abducted by aliens? -or- What if you sell it?
Not only are you now needing a new car, but that fancy GAP crap will probably not cover the $900-1,000 cost for a new warranty that's now useless.

There are a very FEW cases where GAP insurance is appropriate, but in most cases if you need GAP, what you really need is to rethink your debt loading and buy a new car without being upside down when you drive off the lot!!!

Best of luck!!!

 

GAP insurance isn't required right? Some people just prefer to have it when they have a loan for the car?

Some people might want to check their state's insurance web site. Maryland's site lists companies that sell GAP insurance.

 

In Georgia the Gap plan sold by JM&A is actually not insurance. It is a protection plan. Difference? Rules and regulations. For me it was very beneficial as my first Prius was totaled by an illegal alien whose insurance refused to pay. My uninsured motorist insurance stepped in and Gap picked up the rest.