If you’re considering purchasing gap insurance for your car, the next step is obtaining a quote. Getting a gap insurance quote is relatively simple and can help you understand how much you will pay for this valuable coverage. Here’s what you need to know:
What You’ll Need to Get a Gap Insurance Quote
When requesting a gap insurance quote, you’ll need to provide a few key details:
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Vehicle Information:
- Make, model, and year of the car.
- Vehicle Identification Number (VIN) – This helps the insurance company get an accurate value of your car.
- Current mileage of the car.
- Condition of the vehicle (e.g., new or used, any damage).
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Loan or Lease Information:
- Amount left on the loan or lease: The remaining balance on your car loan or lease is essential for calculating the gap.
- Loan term: The length of your loan (e.g., 36 months, 60 months) can affect how much you owe in relation to the car’s value.
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Insurance Details:
- Your current auto insurance policy: Many auto insurers offer gap insurance as an add-on to your standard auto policy, and they’ll need to know what type of coverage you already have (e.g., liability, collision, comprehensive).
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Personal Information: Basic details such as your name, address, and driving history might be needed if you’re purchasing the insurance through your auto insurance provider.
Where to Get a Gap Insurance Quote
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Your Current Auto Insurance Provider: Many insurance companies, such as Geico, Progressive, State Farm, and Allstate, offer gap insurance as an add-on to your existing policy. If you already have an auto insurance policy with one of these providers, it’s often easiest to get a quote from them.
- Contact your insurance agent or use the gap insurance quote company’s website to request a quote.
- You can usually add gap coverage directly to your existing policy without too much hassle.
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Car Dealerships: If you’re purchasing a new or used car, dealerships often offer gap insurance as part of their financing package. Keep in mind that dealership prices may be higher than getting gap insurance through your auto insurance provider, so it’s a good idea to compare quotes.
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Online Insurance Marketplaces: There are online platforms where you can compare gap insurance quotes from multiple providers. These sites give you the ability to shop around and find the best deal for your needs. Popular marketplaces include:
- The Zebra
- Compare.com
- QuoteWizard
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Lenders and Leasing Companies: If you’re financing or leasing your car, your lender or leasing company may offer gap insurance directly. You can ask them for a quote, but again, it’s recommended to compare this with other options to ensure you’re getting the best price.
Factors That Affect Your Gap Insurance Quote
- The Value of Your Vehicle: The newer or more expensive your car, the more likely you’ll need gap insurance, and the higher your quote may be.
- Loan/Lease Balance: The higher the balance remaining on your loan or lease, the more likely you’ll need gap insurance.
- Location: Your location can affect pricing due to regional differences in insurance costs and risk factors.
- Driving History: Your driving record and credit history may impact the overall cost of gap insurance, especially if you bundle it with other coverage from your auto insurer.
- Car Make and Model: Certain makes and models may have higher depreciation rates, affecting how much coverage you need.
How Much Does Gap Insurance Cost?
Gap insurance typically costs between $20 to $50 per year if added to your existing auto insurance policy. However, dealership or lender-sold gap insurance might be priced higher, often ranging from $300 to $700 or more for the entire term of your loan or lease. Shopping around and comparing quotes can help you find the most affordable option.
Conclusion
To get a gap insurance quote, you’ll need some basic details about your vehicle and the remaining balance on your loan or lease. Start by contacting your current auto insurer or checking with the dealership or leasing company. Always compare different options to ensure you’re getting the best value. With gap insurance, you can protect yourself from the financial burden of owing more than your car’s value in case of an accident or theft.