What is GAP Insurance, and Why Do You Need It? thumbnail

What is GAP Insurance, and Why Do You Need It?

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Ensuring the Protection of Your Vehicle Investment

Purchasing a car is a major investment, and protecting it is crucial. GAP (Guaranteed Asset Protection) insurance offers essential coverage by covering the difference between what you owe on your car loan and what your insurance pays if your car is stolen or totaled.

How GAP Insurance Works

Standard auto insurance covers the market value of your car in case it’s totaled or stolen, but due to rapid depreciation, the payout may fall short of covering your loan balance. This is where GAP insurance steps in, covering the difference.

Imagine your car is valued at $15,000 but you owe $18,000. If the car is totaled, your insurance will pay $15,000, and GAP insurance covers the remaining $3,000, ensuring you’re not left paying off a loan for a car you no longer own.

Why Borrowers Should Consider GAP Insurance

GAP insurance offers several key benefits for borrowers, making it a smart choice when financing a vehicle:

  • Added Peace of Mind: With GAP insurance, you won’t be financially burdened if something happens to your car.
  • Guarding Against Vehicle Depreciation: GAP insurance protects you from the rapid depreciation of a new car, ensuring you’re covered if the car is lost or totaled.
  • Avoid Financial Setbacks: It helps you avoid having to pay off a vehicle loan after the car is no longer in your possession.
  • Affordable Coverage: GAP insurance is generally inexpensive when added to your car loan, especially when compared to the potential financial risks it protects against.

Protect Your Car with WyHy GAP Insurance

At WyHy, we provide GAP insurance as an affordable and valuable option for your auto loan. Adding GAP insurance to your loan means you can drive with confidence, knowing that your vehicle is protected.

WyHy offers competitive rates and flexible loan options, with the added peace of mind that your investment is covered by GAP insurance.

Ensure Your Vehicle’s Protection with GAP Insurance

Securing GAP insurance is a wise decision for protecting your vehicle investment, whether you’re purchasing a new or used car.

Don’t wait until it’s too late. Contact WyHy today to learn more about our auto loan protection options and how GAP insurance can keep your vehicle investment safe.



Interested in GAP insurance? Visit WyHy Loan Center or call us at (800) 442-2392 for more information.

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