Guaranteed Asset Protection (GAP) Insurance

This insurance is designed to protect you when a gap exists between the actual value of your vehicle and the amount of money you owe on your loan.

Initially, your loan balance will possibly exceed the value of the vehicle you have financed. This is especially true if you put down a small down payment or are not required make a down payment at the time of purchase.

If your vehicle is stolen or totaled in an accident, your auto insurance company will cover only the replacement value of the vehicle. The remainder of the loan balance becomes your responsibility to pay and the replacement value will not always cover it. GAP is designed to cover that difference.

Example of the benefit of having GAP Insurance:

Your car loan balance after one year is $15,000. The market value of your vehicle is only $11,000 after the same one year period and you have an insurance deductible of $1,000. You, unfortunately, are involved in an accident and your car is declared 'Totaled'. You insurance company will pay you $10,000 ($11,000 less the deductible). That leaves you will a loan balance of $5,000 that you are still responsible for paying even though you no longer have the vehicle. With GAP Insurance, you are covered for that amount.

The benefits of GAP protection are:

Protection from financial loss Protection of your credit rating Protection for the term of loan (Up to 84 months) Coverage for auto insurance deductibles Benefits for new or used vehicles, including cars, light trucks, motorcycles and some other motorized vehicles It gives you peace of mind that you are covered in case of loss

Call the Member Services today
about this low cost coverage at (804) 843-2520 !
or email at

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