Understanding GAP Insurance: What It Is and Why You Need It thumbnail

Understanding GAP Insurance: What It Is and Why You Need It

Published Dec 13, 24
2 min read

Protecting 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 Does GAP Insurance Help You?

If your car is stolen or totaled, your regular auto insurance will only cover the current market value, which can be much lower than the amount you owe on your loan. GAP insurance covers this gap, making sure you're not left with outstanding debt.

Let’s say your car is worth $15,000, but you still owe $18,000 on your loan. Your insurance will cover $15,000, but GAP insurance will cover the remaining $3,000, sparing you from paying for a car you no longer have.

Benefits for Borrowers

GAP insurance provides valuable protection for borrowers, offering a range of benefits that make it a wise choice for anyone financing a car:

  • Added Peace of Mind: GAP insurance gives you peace of mind knowing that you won’t be left with debt if your car is totaled or stolen.
  • Guarding Against Vehicle Depreciation: Because new cars depreciate fast, GAP insurance ensures you're financially protected in case of an accident or theft.
  • 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: Adding GAP insurance to your loan is usually quite affordable, making it a valuable addition compared to the financial risks it safeguards against.

Protect Your Car with WyHy GAP Insurance

When you take out an auto loan with WyHy, you can add GAP insurance to your loan for added protection. This affordable add-on offers peace of mind, protecting your investment in case of an accident or theft.

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

Secure Your Ride

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

Protect your ride before it’s too late. Don’t wait for an accident to happen—contact WyHy today and find out how GAP insurance can protect your car and keep your finances secure.



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

#GAPInsurance #AutoLoanProtection #WyHyCarLoans