Do you have a financed car, truck, or SUV? Did you know that if it its ever totaled or stolen, YOU COULD FACE A FINANCIAL RISK that your auto insurance policy may not cover? Guaranteed Asset Protection (GAP) coverage protects you against this risk!
Gap is a policy that protects you in the event of theft or total loss of your vehicle. Most insurance companies only pay the Cash Value of the vehicle at the time of the loss. Your remaining loan balance could be much greater than the Cash Value of your vehicle creating a DEFICIENCY OF SEVERAL THOUSAND DOLLARS THAT YOU’RE LIABLE FOR!
Plus, if you compare our $250 cost to what dealers charge, you won’t believe the savings at your credit union!
| Why buy GAP from the Credit Union? |
| Compare cost at dealer and save hundreds of dollars. |
| GAP is Easy to Purchase |
| GAP can be purchase at a low, onetime cost and can be included in the amount financed with the loan. Coverage takes effect immediately upon loan dispersal. |
| 60-Day Free Look |
| You may examine your GAP policy for 60 days. If you are not satisfied you may cancel GAP by returning the waiver within the first 60 days of coverage for a full refund of any premiums or amount you have paid. |
| Covers Primary Insurance Deductible |
| GAP covers the owner’s primary insurance deductible up to $1,000.00. This results in another reduced financial burden associated with a vehicle being stolen or totaled, and is one more way in which GAP provides peace-of-mind. |
| Available on a Variety of Vehicles |
| GAP is available for the following types of vehicles. There are no age restrictions on the vehicle. |
| Vehicle Type | Maximum Amount Financed |
Maximum Loan Term |
| All Terrain Vehicle Car or Truck Purchase Golf Cart Jet Ski Motorcycle Motorhome (RV) Snowmobile Travel Trailer (Up to 35′) Water Craft (Up to 50′) |
$50,000.00 $100,000.00 $50,000.00 $50,000.00 $50,000.00 $125,000.00 $50,000.00 $125,000.00 $125,000.00 |
240 months 84 months 240 months 240 months 240 months 240 months 240 months 240 months 240 months |
| How GAP Works – A Typical Example | |
| Vehicle’s original purchase price: | $25,000.00 |
| Suppose after one year you experience a total loss on your vehicle… | |
| Loan balance after one year: | $20.000.00 |
| Insurance settlement covering vehicle’s current value: | $16,000.00 |
| Your lost investment without GAP… | |
| Your remaining unpaid loan balance; the “GAP” (including your deductible, up to $1,000)** : | $4,000.00 |
| GAP pays the following toward the financing or leasing of a replacement vehicle… | |
| GAP pays the difference: | $4,000.00 |
| Total GAP Benefit: | $4,000.00 |
The graph below illustrates your ESTIMATED LIABILITY during the term of your loan.
** Deductible reimbursement is available in most, but not all states. Please consult your financing representative for the availability of this benefit.
