A car is an asset that depreciates unimaginably fast. In fact, the value of your vehicle nose-dives the moment you purchase and drive it away the dealer’s lot. That is how things go and we can only do little about it. The bigger problem is this: What if your car got involved in an accident just four months after you bought it? Certainly, this will give you a headache of a lifetime. However, take heart, there is this thing called gap insurance.
Many policyholders are not too familiar with this kind of insurance because agents and policy owners rarely talk about it when closing deals. Basically, it covers the difference between your car’s market value and the outstanding sum you owe on it. Getting one will definitely help ease the heavy burden on your shoulder. It is recommended that you get it immediately upon buying the vehicle since your vehicle’s market value is still high at this time. Thus, in case of a stolen car or a road mishap, you can still get high compensation, many thanks to your gap insurance.
Not many drivers know that car value depreciates by almost 20 percent the moment you drive a newly-bought vehicle away from the sales lot. As well, its market value gets lower as it stays longer with you. In case your auto gets totaled in a very serious road accident or gets stolen. Your insurer would only pay the car’s market value, and by having gap policy, you are secured that your car will be replaced. In addition, this type of insurance also protects you from opportunistic dealers and insurers.
Affordability is one of the great things about getting gap insurance. You can get it with the assurance that your investment will not go straight to waste since it will compensate additional financial assistance in case the company does not provide adequate protection. The catch is this: Get it immediately or as soon as you purchase a car. You cannot afford to buy some time. If you wait too long before deciding to apply for such insurance, you will feel there is no need to get one. It would be too late if it took you a long time to decide: your car’s market value would be equal to what you owe on it.
For free gap insurance quotes, go online. It is best to collect quotes first, compare them, and decide which one suits your needs. Consider a less expensive, but high-quality insurance. Spend more time and effort in weighing the advantages and disadvantages of each offer to get the great package.