Hey guys, just have few questions to ask?
I bought my EX35 last 2008 and declined the GAP insurance they offered me, bec. my car insurance Allstate offered it for lower price. They called it Auto New replacement POLICY something. Allstate will covers the difference within 2 years of owning the car if it gets totalled. Now, it`s been more than 2 years and I don`t have the GAP coverage anymore. How do I get avail of GAP insurance? Should I ask INFINITI FINANCE? I financed the car from them. Is it still possible?
GAP INSURANCE QUESTION
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EXceptional
- Posts: 1222
- Joined: Sun Apr 06, 2008 7:54 pm
- Car: 2008 Aspen Pearl EX35 Freakin Loaded!
Re: GAP INSURANCE QUESTION
Gap insurance covers the difference between what the car is worth and what you owe on the car. It comes into play if the car is stolen or totalled (damaged to the point that repair would cost more than the car is worth) while the owner is still making payments.
Who should buy gap insurance:
People who are leasing a car or who expect to owe more than the car is worth for a significant amount of time.
Who should not buy gap insurance:
Buyers who have arranged their down and monthly payments so as to ensure that they won't be "upside down" on the car for any significant period of time.
Gap insurance for buyers:
For buyers, gap insurance only makes sense if you expect to be "upside down" on the car (you owe more than it is worth). If you made a low down payment, if you bought a car that depreciates rapidly, if you have a high interest rate or if you rolled over other costs, such as money owed on a trade-in, into your new-car payments, gap insurance makes sense. Most buyers, particularly those who made a healthy down payment, will always be right-side-up on the car, and therefore don't need gap insurance.
Gap insurance for leasors:
In the case of a lease, even though you aren't buying the car outright, you are responsible for the cost of the car if it is stolen or totalled. Because lease payments -- and therefore the amount of money you have tied up in the car -- is significantly lower, the difference between what you have paid and the value of the car can be huge -- therefore gap insurance is much more critical for a lease. In fact, many lease contracts require it.
Who should buy gap insurance:
People who are leasing a car or who expect to owe more than the car is worth for a significant amount of time.
Who should not buy gap insurance:
Buyers who have arranged their down and monthly payments so as to ensure that they won't be "upside down" on the car for any significant period of time.
Gap insurance for buyers:
For buyers, gap insurance only makes sense if you expect to be "upside down" on the car (you owe more than it is worth). If you made a low down payment, if you bought a car that depreciates rapidly, if you have a high interest rate or if you rolled over other costs, such as money owed on a trade-in, into your new-car payments, gap insurance makes sense. Most buyers, particularly those who made a healthy down payment, will always be right-side-up on the car, and therefore don't need gap insurance.
Gap insurance for leasors:
In the case of a lease, even though you aren't buying the car outright, you are responsible for the cost of the car if it is stolen or totalled. Because lease payments -- and therefore the amount of money you have tied up in the car -- is significantly lower, the difference between what you have paid and the value of the car can be huge -- therefore gap insurance is much more critical for a lease. In fact, many lease contracts require it.
Re: GAP INSURANCE QUESTION
Thanks for the response. =)
I need it bec I`m 4k upside down due to trade in from previous car.
I need it bec I`m 4k upside down due to trade in from previous car.