Insurance wants to total the car. When I purchased the car I purchased GAP insurance. I packed Bankruptcy Chapter 13. Wondering will the GAP insurance cover balance of after insurance?” style=”margin:10px;float:left;” />Yes, you have taken a wise and wise step. When your car will be totalled by the insurance company, than the balance amount of the loan which you will have to pay will be paid by the gap insurance. This is the purpose of gap insurance.
Gap insurance pays for the difference in the insurance settlement and the loan amount when there is an accident or a misfortunate event that leads to a claim like theft of the vehicle.
The purpose of insurance is to save a person from financial problems.
Does GAP Insurance cover uninsured vehicles in a wreck?
How can you have GAP insurance on an uninsured car? You have to have a basic policy to add this. actually the terms of my GAP insurance stipulate coverage of a total loss even without primary coverage. that astonished me, but it states “if there is no primary insurance at the time of loss, actual cash value shall mean the retail value of the vehicle…”. this raises some interesting issues about not carrying collision, but as GAP only covers the difference inbetween book value and loan balance under the condition of a total, and in NJ at least, to have a car loan you must carry collision, the point seems rather moot. maybe other states don’t require collision with a car loan [but I doubt it]…in any event, GAP wouldn’t cover anything less than a total loss. A little twist to your question. What is the reaction to the following question. Does GAP Insurance cover insured vehicles (comprehensive) in a total wreck, when the claim is denied?
What is the penalty if you have a gap from time you purchase a car from a dealer until you obtain auto insurance?
Makeshift Dealer Gap insurance is considered the same as having no insurance at all. Most companies don’t recognize dealer gap insurance because they are only excess secondary coverage policies, No Liability coverage is generally included in them. Generally if you have a lapse of 30 days or more, or if you have had continuous coverage for less than 6 months, then you will pay Five to Ten percent more on premium. Beware of GAP Insurance, I’ve seen more than a few people who got burned on these after they discovered the gap only covered a portion of the vehicle and suggested no liability coverage for the driver..
As a Broker, I can tell you it truly depends on: the length of time, WHY the gap, your past record, and the individual underwriting policy for each insurer. Be SURE to tell any prospective broker/company of this gap or you could be without in the end!
How long after a 2nd car is purchased will it covered by your insurance?
In most cases, 30 days, the vehicle will only be covered to the boundaries of liability that you presently carry on your own policy for the 1st vehicle. For example, if you dont have comprehensive or collision on your current auto, then a fresh purchase will not have it covered either. Hope that helps. Greg Nice
If you have GAP insurance will the leftover balance be paid off when your car is repossessed?
What does your GAP policy say? Do YOU have it or the LENDER? Normally, lenders place it on a loan to cover the lenders losses, not yours. If you hav GAP insurunce On you Insurance will pay of whatever the car deler does not
If you have gap insurance through both the car company and insurance company will you the insured be entitled to one of the payments to purchase a fresh car?
doubt it, gap insurance (usually sold by the car dealer or lien holder) covers just that the ‘gap’ inbetween the acv (actual cash value-which is what the insurance company less your deductible if there is one, for your total loss vehicle) and pay off of your loan
What can you do if you wrecked a car that was in your mother’s name and she said it was insured but it wasn’t and all you have is gap insurance?
Unfortunately, ignorance of the fact that you had no insurance is no excuse. You are the driver and it’s your responsibility to be sure you have insurance. You are liable for the harm done to the other car and you will also most likely get a citation for not having insurance. Your car is also your problem. I suppose you could sue your mother but I wouldn’t hold my breath on that one.
If you want the insurance company to total your wrecked car can you negotiate this?
To Total Or Not To Total?? .
Not truly. Albeit things from vary from one state to another, usually they will repair the car if the harm value is 70% or less of the car’s current book value. I’ve never heard of anyone doing this so I’m not sure if it’s possible, but you COULD call the insurance company and tell them you’re willing to lodge for a check directly to you for less than the harm estimate. The company will most likely agree as ALL insurance companies want to lodge for as little as possible, but state laws may prohibit that because once a car is give a totaled or salvaged title it’s reported to the state. To response the question most of the time if they choose to repair it you have to side with that option most of the time, if you feel otherwise, consult your local auto accident attorney.
How do you get another car loan or will you have to wait until the loan is closed if you have a loan on a car that was totaled and insurance and GAP insurance will pay the total loan balance?
Yes surely you can get another. I was having the same query so I searched for it on net and came across the site AutoFinance-EZ. Interest rates are determined by the actual lenders and are influenced by several factors, including the severity of credit problems, the amount of down payment, and the degree of credit risk. Your auto loan experienced will explain these factors, and tell you exactly what your interest rate will be. .
If you are not sated by the deal you are getting for a 2nd loan on your car, attempt looking for a payday loan.
How do you get rid of a wrecked car with no insurance?
call local salvaging companies. many will take cars for free. also look into donating the car for local charity groups. Another response: The local junk yard paid me $ 25.00 for my lump of junk and came and picked it ip.
What does gap insurance cover?
Gap coverage is intended to cover the difference inbetween what the car is worth and what is owed on the car. So if you owe 15,000 on a vehicle that has a value of 12,000, you should be covered.
What is gap insurance?
GAP insurance is coverage that covers the difference inbetween the value of the vehicle at the time of the accident and the amount that is owed on the loan at the time of the accident. GAP insurance can be purchased from the finance company or from the persons insurance company. Usually it is much cheaper to get it from the insurance company.
Is Gap Insurance on cars worthwhile?
GAP insurance may well be worthwhile. GAP insurance is extra car insurance, generally obtained from the dealer that sells the car, that covers the difference inbetween what the insurer pays for a total loss of the car and what may be owing on the car loan. Normally, if a car suffers a total loss, the insurer will pay the actual cash value. This is the value of a vehicle of like, kind and quality, with similar mileage, accessories, in similar conditon; the actual cash value is calculated for the same general geographic area as the insured vehicle. Because the amount owing on the loan may be more than what the car is worth, GAP insurance pays the difference. rather than the insured being responsible for paying it to the lender. Naturally, if you paid in total for the car upon purchase, you do not need GAP coverage. Likewise, once you pay off the car loan, GAP coverage may be canceled.
Your car is a total loss and pay off is about half of the amount of your loan you carried some from a prior car will your GAP insurance cover the majority or all of the remaining balance of the loan?
You will need to read your GAP insurance information. Like car insurance each plan is different. Some GAP insurance plans state they will pay 100% of the “resale” value. Others state 125% (meaning the current resale value of your car plus 25% above that). Others state 100% of “trade-in” value..
Bottom line – read the insurance plan document you got from the company, or visit the car dealership you bought the car from and pick up a pamphlet..
Good luck to you!
Can I purchase insurance for a car that i do not own?
Well, you may indeed, but you are in responsibility! Whatever happens to the car, you will have to face the consequence!
Is your fresh car purchase covered until you get to insurance office?
No, you need to get the insurance arranged before you pick up the fresh car.
What if you get in a wreck but have failed to pay the insurance the past month the car is fresh and has gap insurance but the insurance is inactive because of failure to pay?
Your Not covered for anything at all..
If the auto insurance is inactive, then so is the GAP coverage..
“GAP Insurance” is Not “Auto Insurance”, it is Finance Company Insurance. it will only pay the difference after your required Auto Insurance policy has paid it’s maximum boundaries..
If your auto insurance lapsed, then your GAP insurance has also lapsed automatically and concurrently..
The GAP Insurance is Void in the absense of an auto insurance policy..
Your on the hook for all monies owed to all parties involved with your finance note..
Does gap insurance cover a repossession?
Gap insurance only pays if the vehicle is totaled in an accident orstolen and not recovered. It does not cover the deficiency balanceafter a repossession sale.
What if your car repossessed with gap insurance?
The gap insurance is part of your auto loan so I am not sure what your question is. Gap insurance covers your car if you total it and the fair market value for your car is below what you owe. If your car gets reposessed, you still owe the lender. Actually, the cost of the gap insurance is flipped into the loan – it’s not part of the loan. If you can find your original paperwork from when you bought your car, find the information on the company that issued the gap insurance policy, and then call them and tell them you no longer own the car, and see if you can get a partial refund on the premium! Can’t hurt to attempt, right? I do vehicle refinances, and our auto loan contract includes the gap insurance (albeit we call it something else) for free, so I have helped several people cancel their gap coverage, albeit we usually do it pretty early in the loan. Same with credit disability insurance, if you have it.
What if You are in a car accident and have no insurance and you hit a car that had total coverage and gap insurance what will happen?
Generally, if you were in CA and I am assuming you are not talking about a fender bender or minor accident, you would lose your license and be required to make a filing to reinstate your license. In order to maintain your license you may be required to file what is called an SR-1P or an SR-22 which is simply proof you have insurance in place. If your insurance expires or you let it lapse, the insurance company will notify DMV and your license will be suspended again. Now you said the car you hit has insurance. This could mean they (the insurance company) will most likely attempt to go after you to recover damages they had to pay on your behalf. You are still responsible!
You have gap insurance and total coverage insurance but your bf totaled your car and he is not on your insurance will your insuances still cover your car?
You’ll have to seek out the fine print in your gap policy for details on that. In regards to your auto policy, total coverage does not have anything to do with who is covered, but everthing to do with what is covered. Generally speaking harm to your car will be covered, minus your deductible, unless your bf is excluded from the policy. For the future it’s always a good idea to add drivers to your policy, even if it’s for a day, no sense in putting yourself in a position like this.
If you had your granddaughter car insured and she wrecked it is the car covered?
It depends on the type of insurance coverage. If it was Liability insurance only, and she caused the wreck, then it is not covered. If it was Collision coverage, and she caused the wreck, then it would be covered. If she didn’t cause the wreck, I’d check with the insurance company of the person who did cause it.
Do I need to purchase GAP insurance or is that already part of the package when you buy a fresh car?
GAP insurance is normally suggested to you when you buy a car. If it was purchased at all, that is up to you. If you do not have it then you can find someone else that offers it. A few insurance carriers suggest this as part of their plan. Progressive and Unitrin suggest that with their auto insurance policies.
Your car was totaled no other car involved you had total coverage insurance and GAP insurance will you be reimbursed for your loss or will it all go to the finance company?
the very first priority of the insurance company is to pay of the loan holder (so the value of your car is determined and out of that) whatever is left over will be sent to you. If the value of the car is less than what you owe you are stuck with the balance as far as gap coverage goes you will have to check with your insurance company they’re all different
Does gap insurance cover theft?
Yes, But only if there is a gap in the final loss payment by the underlying auto insurance policy. If there is no underlying Auto Insurance theft coverage then the Gap Policy is null and void and no coverage would ensue.
If you total your car after your insurance is canceled will GAP insurance still protect you?
NO,, GAP Insurance is supposed to pay the difference inbetween what your Auto Policy paid and any remaining portion of your loss after the Auto Insurance Policy has paid it’s maximum..
If No Auto Insurance Policy is in Place providing comprehensive and collision coverage then your GAP Policy is Null and Void..
GAP coverage only pays in conjunction with your Auto Insurance Policy..
No Auto Insurance! No Gap Payment
No auto insurance but do have gap insurance?
So called gap insurance covers only the difference inbetween thevalue of your vehicle and what you owe to the bank. It offers noother protections such as individual injury & liability, orcollision.
What happens if you total your car and have gap insurance?
if your car is worth 10k and u own 20k and your car gets totaled, your car insurance will cover 10k for what your car is worth and cap will cover the rest. you wont get any money but you also wont have anymonthly payments anymore.
Gap insurance is from the auto loan or your insurance on the car?
GAP (assured asset protection) auto insurance coverage is one the most necessary, yet least understood insurance products available to vehicle owners. It is generally purchased through the auto dealership or leasing company at the time of the initial purchase or lease. It’s purpose is plain: If your car is totaled, gap insurance will cover the difference inbetween what your insurance company says your car is worth (actual cash value) and what you still owe on your loan or lease.
Does gap insurance cover if your behind on car payments?
Unluckily, no. What gap coverage does is pay the balance on your car loan if your car is totaled and the insurance payment is not enough to pay off the balance of your loan. Fairly often our vehicles depreciate quicker than we can pay them off. Insurance only pays the depreciated (blue book) value, so sometimes what you will get from your insusrance company doesn’t pay off the loan.
Car totaled insurance value car at 16000 and loan amt is 12400 can you use your gap insurance to pay off car loan?
If they gave you 16000 on the car, you would not need gap insurance since your loan amount is 12400.
What does gap auto insurance cover?
Physical harm coverage on an auto policy says that the insurance company has the option of paying to repair, substitute, or pay the actual cash value of the vehicle. In the case where the harm to a vehicle’s cost to repair is more than the ACV of the vehicle the vehicle is totalled and the company will pay the ACV of the vehicle. Sometimes when you buy a fresh vehicle without much or any downpayment you quickly get “upside down” in the loan. As the value of the car depreciates, the loan balance doesn’t fall almost as quick. For the very first duo of years you owe more than the value of the vehicle. The insurance company has nothing to do with auto loan. GAP insurance was created to cover the difference in the ACV of the vehicle and the loan payoff. You can buy GAP insurance from the finance company or bank that financed the vehicle or from your insurance company. Purchasing from the insurance is much less expensive and you can drop the coverage once the loan balance falls below the value of the vehicle.
Does gap insurance on you car expire?
GAP insurance helps cover the difference if your car is deemed a total loss and is worth less than what you owe on the loan. GAP insurance only runs out when you pay down your loan enough that you have equity in the vehicle.
Why do you have to pay insurance when purchasing a car?
There are a number of reasons, two of which include: 1. The financial responsibility law of every state requires liability auto insurance as a condition of registration. This ensures that the holder has some minimum level of insurance that will reaction to an harmless party if the insured vehicle’s driver is negligent (careless) and causes harm to the person or property of the virginal party. Two. If the vehicle is financed, the lender will require collision coverage. This provides a source of money from which the car can be repaired in the event of a collision. The lender is worried with this because it loaned money based upon the value of the undamaged vehicle. Repair may therefore restore (most) of the value of the repaired car.
What is gap insurance for a leased car?
GAP coverage is very necessary especially in a lease situation. GAP coverage comes into play if a vehicle is deemed totaled. What GAP does is to pay for the difference in the actual cash value that is payable under the normal policy and the balance owed to the lease company or finance company of a loan. In the early years of a lease or loan the vehicle value falls quicker that the value of the vehicle. If you total the vehicle within this period you can find yourself without a vehicle but with a sizable amount of money due on a vehicle you cannot drive any more. GAP coverage will pay this difference. The Finance Dept of the auto dealership will attempt to sell you on this GAP insurance. Very first, no matter what they say, it is not mandatory to but it from them. Private Auto insurance companies suggest GAP insurance that does the same thing for about 10% of the premium the dealership charges you for the same coverage. You will also have a right to cancel the coverage whenever you feel the value and loan balance have equaled out. One catch is that you must purchase the GAP coverage from you insurer withing 6 months of purchasing the vehicle. As a matter of utter disclosure, I own and operate a puny Independent Insurance Company in Central Georgia and have for the past 22 years. Prior to that I worked as an agent for a direct writer of insurance for Three years.
Where can you purchase asda car insurance?
Asda car insurance is available to purchase online or over the phone. Asda is based in the United Kingdom.
Can you purchase car insurance with no car?
Non Owners InsuranceYes, You can, It’s called aNon Owners Insurance policy, also known as anOperators Policy , asopposed to a traditional Owners Policy. In the United States, a Non Owners Auto Insurance Policy is legalin all 50 states. You may have to shop around however as the largerinsurers that you may be familiar with tend not to suggest non ownerscoverage. Some Insurance companies choose to do business withvehicle owners only or they just don’t think tere is enough moneyto be made from Non Owners. There are many people around the United States who do not own avehicle but do hold a drivers license and sometimes drive aborrowed or loaned vehicle. A non Owners Insurance Policy can provide that extra level ofsecurity as well as ensure that you are in compliance with yourstate law by having the adequate coverage when operating a motorvehicle on public roads. Other InputYes, but why? You would not be able to tag the car, register it,inspect it, and you couldn’t even drive it home. Because of the limitations involved, some dealers may not sell toyou without proof of insurance. Some companies in the UK at least, will insure a driver as opposedto a vehicle. Drivers that supply cars for example, have thistype of insurance. In this case you are also issued with a specialset of makeshift number plates. Actually “car insurance” has little to do with the car except forthe liability to a lien holder if financed. The insurance is basedon the driver’s record and driving history. Some states do permit aperson to purchase a liability policy when operating someone else’svehicle. Truck Driver’s have to have commercial insurance forcertain types of vehicles and intense equipment. You may want tocheck with you local DMV to check the rules and regulations or evencontact an insurance agent that carries auto insurance. In regards to the very first response , the actually physical proprietor of avehicle does not have to be the insured driver. The knuckle car Iowned (1964 1/Two Mustang==Thanks Mom) was possessed by my Mom. She didnot drive. I insured the car and registered the car. All I had toprove was that the car was insured for liability and collision.
Does gap insurance cover a death?
No. If a car is determined to be a total loss as a result of a collision, GAP insurance pays the difference inbetween what the collision coverage pays as the actual cash value of the car and the outstanding loan balance.
Is gap insurance a one time purchase?
Yes, at the time you get your car note unless you purchase from companies like Progressive, where you are adding it to your auto policy. Be aware–Gap is considered a fraud indicator in theft claims, coupled with the factory so-called anti theft systems that don’t stop theft. Especially if you are upside down in your car. The contention is that you can just walk away from that over inflated car payment. It goes to denial of the theft claim. I know it, I live it. I am an SIU Investigation Consultant for insureds during their theft claim and sometimes convert to their forensic auto theft accomplished. Gap insurance is mainly meant to protect the lien holder’s interest. If you trade in a car owing more than it’s worth, carry the balance over to the fresh car and you drive the fresh car off the lot, you just lost 20% on that, so the loan many be contingent on the purchaser paying a one time payment on Gap financed in the deal
Where can you purchase GAP insurance?
Contact the company that has your loan. They would love to help you get GAP insurance witnessing as how you would being paying for something that benefits them as much or more than you.
How much is it to purchase gap insurance?
If you are a UK resident, a Gap Insurance policy can commence from just Â£55 – it indeed depends on what type of GAP Insurance you need, the period of cover and the claim limit required. Visit the related link for more details and market leading policies.
Does insurance cover a car totaled in a wreck involving a DWI?
If you had collision insurance on the car at the time of the accident that should cover the value of the vehicle. Even if you were inebriated you were still at fault and very likely didn’t crash your car on purpose.
Where can you purchase AAMI car insurance?
AAMI is an insurance company that provides car, travel, life, home, and landlord insurance. This service can lightly be purchased via the companies official website.
Where can one purchase car insurance?
One can purchase car insurance by contacting their local insurance broker. Many insurance companies such as Progressive, Geico, and Allstate can be contacted directly to purchase insurance.
Where can you purchase womens car insurance?
You can get insurance from websites like State Farm, Progressive or Belair Direct. It is best to check out different quotes before signing the dotted line.
Where can you purchase Privilege Car Insurance?
Privilege Car Insurance is a company that is based and operates in the United Kingdom. If one is wanting to purchase Privilege Car Insurance, one can visit the company website or by calling 0800-051-6990.
How can one acquire GAP insurance for their car?
If you are looking to get gap insurance for your car go onto Esurance. They have lots of deals right to fit you and they wont leave you empty pocketed.
Where can one purchase auto gap insurance?
Auto gap insurance is usually available from any decent motor insurance company. For assistance finding one, one could visit a website such as MoneySupermarket.
Where can ladies car insurance be purchased?
Care insurance for women can be purchased from a number of major Insurance providers such as All-State, State Farm, or Geico. It can also be purchased directly from any major bank.
What does the insurance company do when a car is not total in a wrecked?
If a vehicle is bruised in an auto accident the insurance company that insures the vehicle has the option to repair it, substitute it, or pay the actual cash value of the car. The last one is in the case of a total loss and the company never attempts to substitute a vehicle anymore. In this case it would repair the vehicle and pay for the cost of repair less your deductible which you will be responsible to pay for yourself.
Can you get gap insurance in Georgia after you buy your car?
Sure. You are much better off to get GAP insurance from your insurance company than by buying it from the dealer. If you buy from the dealer you will pay lots of money for the insurance plus you pay for GAP insurance for the life of the loan in advance then pay interest on it as it is financed in your loan. GAP insurance is coverage for the difference in the actual cash value of the vehicle and the amount owed on the vehicle. Reason shows that you will only be upside down in your loan when you very first buy a fresh car because the value decrease prompt the very first year while the loan doesn’t reduce as prompt. You can purchase GAP coverage from your insurance company for a few dollars ($5-10) for a policy period and when the loan balance drops below the value of the car you can drop it. Say the very first two years of a five year loan you owe more than the value tho’ it is very likely less. For two years you may pay $40 for the coverage from an insurance company then drop the coverage. From the dealer you paid $850 plus interest and you can’t cancel it even however it will not pay off anything after the very first two years. To reaction your question, most insurance companies will let you add GAP coverage for the very first 6 months after you add the car to your policy.