In the event of a total loss, GAP covers the difference between the insurance settlement and the remaining balance on the loan or lease.
How GAP Works
If An Accident Happens
If a customer is in an accident that totals their car, the insurance company may value the car less than the amount that the customer owes on the loan or lease. Comprehensive and collision insurance cover what a car is worth at the time of the accident. When your customer owes more on the loan or lease than that, gap insurance covers them.
Why Sell GAP?
Low Cost Revenue Stream
GAP insurance is a low cost additional revenue stream, that can increase your back end profits.
We assist with the formation and management of dealer-affiliated reinsurance companies.