Protect Your Vehicle Investment with GAP
What is GAP coverage?
In the event your vehicle is stolen or damaged beyond repair, your insurance settlement may not cover your entire loan balance. GAP (Guaranteed Asset Protection) pays the difference between the cash value of your car and the remaining loan balance.
How does GAP work?
Let’s say you owe $13,000 on your vehicle, and it’s damaged beyond repair in an accident. After subtracting your deductible, the insurance company awards you $10,000 to replace the vehicle.
Without GAP, you would still be required to pay out-of-pocket to cover the remaining $3,000 loan balance, even though the vehicle has been deemed a total loss.
| Your auto loan balance | $13,000 |
| Your insurance company pays | -$10,000 |
| Loan Balance (out-of-pocket expense) | $3,000 |
| Remaining auto loan balance | -$3,000 |
| GAP benefit | +$3,000 |
| Out-of-pocket expense | $0 |
To apply for GAP or obtain additional information, please contact the Member Care Center at 301.699.6151 • 800.969.6151.