Call or Text Us 303-957-1742 ☰ ˟
Logo
Quote Now
Call or Text Us 303-957-1742
  • Home
  • Current Clients
  • Get a Quote
    • Auto Insurance Quote
    • Business & Commercial Insurance QuoteImage of right arrow
      • Commercial Auto Insurance Quote
      • General Liability Quote Form
      • Business Owners (BOP) Quote Form
      • Workers Compensation Quote
    • High Value Insurance Quote
    • Home Insurance Quote
    • Recreational Vehicle Insurance Quote
  • Click to Buy
    • Compare Your Current Home or Auto
    • No Current Auto Insurance
  • Blog
  • Resources
    • Refer a Friend
    • Important Links
    • Insurance Glossary
  • About Us
    • Location Map
    • Meet Our Team
    • Partners
    • Customer Testimonials
    • Community Involvement
    • Privacy Policy
  • Contact
    • Contact Us
    • Join Our Newsletter
Auto Icon

Auto

We browse through a wide variety of coverages and find the right one for you.

Learn More
Home Icon

Home

We browse through a wide variety of coverages and find the right one for you.

Learn More
Business Icon

Business

We browse through a wide variety of coverages and find the right one for you.

Learn More
High End Insurance Icon

High End Insurance Packages

We shop a variety of high end insurance carriers to find the best coverage for you.

Learn More
Life Icon

Life

We browse through a wide variety of coverages and find the right one for you.

Learn More
Home > Blog > What Is Auto Gap Insurance?
TUESDAY, JANUARY 24, 2023

What Is Auto Gap Insurance?

Gap insurance is optional car insurance coverage that helps close the financial “gap” between the total amount you owe a lienholder and the settlement from your insurance company if your vehicle is deemed a total loss after a covered accident or incident.  

If you financed or leased a vehicle, your lienholder might require gap coverage as part of your full coverage auto insurance. Contact McDonald Insurance Group in Littleton, Colorado, to learn more about this important type of auto insurance coverage.  
two drivers arguing after traffic accident
Who Needs Gap Insurance? 
Gap insurance isn’t right for every driver. If you own your car outright or it’s worth more than your loan or lease balance, this insurance may be unnecessary.  

Gap coverage kicks in when your car is totaled and your insurance settlement isn’t enough to pay off your loan or lease. Without this coverage, you are responsible for covering the difference between your insurer’s settlement and the remaining debt.  

Gap coverage can provide an inexpensive way to obtain crucial financial protection. It may be a good fit for you in the following circumstances: 

  • You purchased a brand-new car that depreciated quickly. Your car is now worth much less than your loan or lease balance. 
  • You financed a vehicle for more than 60 months, and it will likely depreciate faster than you can pay down the balance. 
  • You bought a new or slightly used car and made a down payment of less than 20%. 
  • Your vehicle depreciates faster than the average car.  

How to Get Gap Insurance 
If you purchase or lease your car from a dealership, you might be offered gap coverage when you sign the paperwork. You can also purchase gap insurance from your agent as part of your auto insurance coverage.  

The agents at McDonald Insurance Group can help you determine whether gap coverage is appropriate for your situation. Contact us today to get a quote.  
 

This blog is intended for informational and educational use only. It is not exhaustive and should not be construed as legal advice. Please contact your insurance professional for further information. 

 

Posted 5:48 PM

Tags: gap insurance
Share |


No Comments


Post a Comment
Required
Required (Not Displayed)
Required


All comments are moderated and stripped of HTML.

NOTICE: This blog and website are made available by the publisher for educational and informational purposes only. It is not be used as a substitute for competent insurance, legal, or tax advice from a licensed professional in your state. By using this blog site you understand that there is no broker client relationship between you and the blog and website publisher.
Blog Archive
  • 2023
  • 2022
  • 2021

  • life insurance(13)
  • auto insurance(11)
  • umbrella insurance(10)
  • home insurance(10)
  • insurance(8)
  • coverage(6)
  • auto(4)
  • commercial(3)
  • homeowners(2)
  • car(2)
  • policy(2)
  • commercial umbrella insurance(2)
  • towing(1)
  • life(1)
  • vehicle(1)
  • umbrella coverage(1)
  • premiums(1)
  • medical(1)
  • rates(1)
  • inspections(1)
  • umbrella(1)
  • rv insurance(1)
  • credit(1)
  • employee(1)
  • gap insurance(1)
  • benefits(1)
  • personal(1)
  • costs(1)
  • personal umbrella insurance(1)
  • exams(1)
  • vehicles(1)
  • rental(1)
  • home(1)
  • score(1)

View Mobile Version

Contact Us Today!
Call - 303-957-1742
Text - 303-529-9132

Social Social Social

Resources

  • Products
  • Customer Service
  • Payment Options
  • Report a Claim
  • About Us
  • Refer A Friend
  • Our Carriers
  • Blog
  • Contact Us

Contact Us

6060 S Broadway
Littleton, CO 80121

P: 303-957-1742 | Text: 303-529-9132 | Fx: 303-957-1743 | inquiries@mcdonaldag.com
© Copyright. All rights reserved. | Powered by Insurance Website Builder