- #367 of 440
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Any GAP insurance providers?
by passat_mx
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Apr 24, 2008 (8:54 pm)
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Hi,
I might need to get gap insurance since my current insurer doesn't offer it. I don't want to change my insurance company, just want to buy a third-party GAP insurance. Which one would you guys recommend besides the ubiquitous $399 online gap insurance ads? (those seem a little overpriced, and have no idea of their reputation)
Thanks.
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- #368 of 440
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Question about used Gap Insurance
by saints75
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Sep 15, 2008 (6:47 pm)
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I sold my truck and I had Gap Insurance on it. The dealer told me to go back to the dealership where I bought the truck and get my money back because I only pay for what I use. I want to make sure this is true before I head to the dealership.
Thanks
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- #370 of 440
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Re: Question about used Gap Insurance [saints75]
by praz
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Sep 19, 2008 (11:41 am)
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Replying to: saints75 (Sep 15, 2008 6:47 pm)
True
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- #371 of 440
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Re: Question about used Gap Insurance [saints75]
by jforjames
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Sep 19, 2008 (4:12 pm)
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Replying to: saints75 (Sep 15, 2008 6:47 pm)
Some states require refunding (typically pro-rata) on Gap coverage...others do not. I would ask for the refund and, if denied, request that the dealer cite the state law or regulation that allows them to sell non-refundable coverage...
Dealer's hate to give refunds. If you look at your loan agreement, whatever price you paid for gap coverage, figure the dealer kept 60-80% of that amount.
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- #372 of 440
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by saints75
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Sep 19, 2008 (6:50 pm)
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Thanks for the info.
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- #373 of 440
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Re: Question about used Gap Insurance [jforjames]
by jagar100
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Oct 02, 2008 (5:58 am)
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Replying to: jforjames (Sep 19, 2008 4:12 pm)
Is there any advantage to purchasing the dealer's loan gap coverage over the insurance company's? Insurance companys only charge a few dollars, compared to the hundreds of dollars the dealers charge!
I was told by a dealer once, that the ENTIRE loan balance would be paid for by loan gap, even if you were upside down on a vehicle. Meaning, if there was a balance from the other vehicle that was tacked on to your new loan, he is saying that loan gap would pay ALL of it. Is this true???? I know that insurance loan gap will not pay finance charges, overdue principals outstanding or penalties of leased vehicles, etc. I can't take his word for it, and he could not provide it in writing since I was not buying a car, I was only calling to inquire.
Also, when leasing vehicles, isn't lease gap included now?
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- #374 of 440
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Re: Question about used Gap Insurance [jagar100]
by fandiguy
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Oct 02, 2008 (6:57 am)
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Replying to: jagar100 (Oct 02, 2008 5:58 am)
The dealer was correct. GAP purchased through the dealer will pay off the whole loan up to $60000 (depending on provider of course). That includes all finance charges, previous loan balance rolled in, etc. It pays off the WHOLE loan, and pays your deductible up to $1000. The insurance company gap may seem like its cheaper, but once your loan is paid off, they will still charge you. The policy seems cheaper because they just add it to your premium on a monthly basis, its usually the same if not more, than the dealerships. And also, it won't pay off 100% of the loan and will NOT pay your deductible. 99% of the time, its a better deal to use the dealerships GAP. As far as i know, GAP is built into pretty much every manufacturer lease.....well those that still actually offer leases!! Oh, and banks limit how much a dealership can charge for GAP, usually around $600, but like anything else its negotiable how much YOU want to pay.
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- #375 of 440
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Re: Question about used Gap Insurance [fandiguy]
by wlbrown9
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Oct 02, 2008 (7:53 am)
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Replying to: fandiguy (Oct 02, 2008 6:57 am)
There was some discussion of GAP limits in some group months ago. IIRC there was a limit over the MSRP that the GAP would cover. So, if that were the case, you could not roll an unlimited previous balance in, and with the credit crisis will we see less of that happening in the future anyway? My guess is yes.
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- #376 of 440
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Re: Question about used Gap Insurance [wlbrown9]
by fandiguy
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Oct 02, 2008 (8:05 am)
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Replying to: wlbrown9 (Oct 02, 2008 7:53 am)
Thats true, some companies limit the amount over MSRP they'll cover. The company i use will cover up to $60,000 in negative equity, as long as the bank approves the advance, they'll pay off the loan. With the credit crisis, banks are limiting the amount over MSRP they'll finance on trucks and suv's; 110% for A+ credit is what i've been seeing the last couple days. Thank god for big rebates and incentives.
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