If you’re looking to get a gap insurance quote for your car, here’s how you can go about it:
Steps to Get a Gap Insurance Quote
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Gather Information: Before you request a quote, make sure you have the following information ready:
- Car details: Make, model, year, mileage, and VIN (Vehicle Identification Number).
- Loan or lease balance: The remaining amount you owe on your car loan or lease.
- Insurance details: Your existing auto insurance policy details (if applicable), as some insurers offer gap insurance as an add-on.
- Location: Your ZIP code, as insurance rates can vary based on location.
- Personal information: This may include your name, address, and driver’s license number (depending on the provider).
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Contact Your Auto Insurance Provider: Many auto insurance companies like Geico, State Farm, Progressive, and Allstate offer gap insurance as an add-on to your existing policy. Contact your current insurer to ask for a quote. You may be able to get it online or by calling an agent.
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Visit Dealerships: If you’re buying a new or used car, the dealership might offer you gap insurance as part of their financing deal. However, keep in mind that dealership gap insurance can be more expensive than purchasing it through an insurance company.
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Online Insurance Comparison Sites: There are various websites where you can compare gap insurance quotes from multiple providers at once, like:
- The Zebra
- Compare.com
- QuoteWizard
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Ask Your Lender or Leasing Company: If you’re financing or leasing your vehicle, your lender or leasing company may offer gap insurance directly. Check with them to see if it’s available and how much it costs.
Factors That Affect Your Quote:
- Vehicle’s Value: The higher the value of your car, the higher the potential gap.
- Loan/Lease Balance: If you owe more than the car is worth (which is common in the early years of a loan or lease), the gap insurance coverage will need to cover that difference.
- Depreciation Rate: New cars depreciate faster than gap insurance quote used cars, so if your vehicle is newer, the cost for gap insurance may be higher.
- Insurance Provider: The cost of gap insurance can vary between providers. Some auto insurance companies bundle it at a lower rate when added to your existing policy.
- Your Location: The region or state you live in can influence the cost of insurance, including gap insurance.
How Much Does Gap Insurance Cost?
- Through Auto Insurers: Typically, adding gap insurance to your existing auto insurance policy costs between $20 to $50 per year.
- Through Dealerships or Lenders: When purchased through the dealership or leasing company, gap insurance can be more expensive, often ranging from $300 to $700 for the term of the loan or lease.
Conclusion
To get a gap insurance quote, you’ll need to have some basic vehicle and loan information handy. The best way to find a competitive quote is to compare offerings from your auto insurer, car dealership, and online comparison tools. Gap insurance is an affordable way to protect yourself from the financial risk of owing more than your car is worth if it’s totaled or stolen.