Local: 631.851.1700 | Fax: 631.851.1515

GAP Insurance

*Not available in New York


Imagine your car is totaled, and the value your insurance company has placed on your vehicle is less than what you owe on it. How will you cover the gap? GAP Insurance relieves the burden of stress associated with paying off your vehicle after the total loss of your car or truck.



Car gap insurance is one of those expenses that seem like a waste of money until you need it.In fact, unless you have suffered the total loss of a vehicle through either collision or theft, you may be unfamiliar with car gap insurance and how much it could ultimately save you. The moment you drive a new vehicle off the dealer lot, your auto insurance is probably inadequate to protect you financially in the case of a total loss. That’s because your regular auto insurance is designed to pay the lender the vehicle’s current cash value — not the current loan balance. The difference can be thousands of dollars. And we all know once your new car — owned or leased — leaves the lot, it is considered a used car and the value of it drops significantly. In fact, the average new vehicle loses 30 percent of its value the first year. By year three, that loss in value will be close to 50 percent, says Philip Reed, senior consumer advice editor at, an auto data provider. If your vehicle cost $25,000 new, your insurer would probably pay about $18,000 for a total loss during the first year. That’s a $7,000 shortfall. Depending on the amount of your down payment (or trade-in equity), you would still be responsible to your lender for the balance of the loan. If you have car gap insurance, your insurer pays the difference, not you. Customizable warranty – Warrantech is the ONLY Company that can offer a customizable Vehicle Service contract. You can pick the miles, moths, level of coverage and deductible.


A Common Gap Scenario:

  • Total Owed on Loan or Lease: $15,000
  • Appraisal from Insurance Company: $11,000
  • Deductible: $1,000
  • Insurance Settlement: $10,000
  • Total Amount Owed on Loan or Lease: $15,000
  • Insurance Settlement: $10,000
  • The GAP: $5,000

To avoid this situation, enroll in GAP Insurance with one easy payment, rolled into your monthly financing.

Affiliate Vendor Network
Banner15 Banner14 Banner12 Banner11 Banner10 Banner9 Banner8 Banner7 Banner6 Banner5 Banner4 Banner3 Banner2 Banner1