Does anyone have experience with GAP insurance for a loan?
04-30-2016, 08:30 AM
#1
Does anyone have experience with GAP insurance for a loan?
Hi Everyone,
About two months ago my s2000 was broken into and long story short, it was deemed a total loss by the insurance company recently.
I currently have an out standing loan for my car with GAP insurance coverage. My auto insurance company gave me a low ball offer that would put me upside on my auto loan, which I believe the GAP coverage should take care off.
My question is, how much should I fight my auto insurance to evaluate their offer? After reviewing their proposal, I find a lot things wrong that I can fight with them about. I believe they offered me about 3k-4k less than what the car is actually worth.
Right now, with their offer, I am negative about 4k on my loan which I believe the gap coverage will pay off. I asked the auto insurance for a buy back price but they told me they cannot give me one right now because it all depends on how much they settle with me for.
Will i have issues dealing with GAP coverage? I have already been fighting with my insurance company for 2 months before they finally decided to settle. If i ask them to offer more, I am still in the negative, and my buy back price might go up. I contacted my bank and tried to get more information about the process but they stated that they cannot do anything until i get my settlement with the insurance company.
What worries me is ill settle for less with the auto insurance and then gap insurance will have an issue with what i settled form.
If i fight for more from auto insurance right now, i might end up paying a lot more for the buy back of the car.
Anyone else have experience with this? At the very least gap coverage process?
About two months ago my s2000 was broken into and long story short, it was deemed a total loss by the insurance company recently.
I currently have an out standing loan for my car with GAP insurance coverage. My auto insurance company gave me a low ball offer that would put me upside on my auto loan, which I believe the GAP coverage should take care off.
My question is, how much should I fight my auto insurance to evaluate their offer? After reviewing their proposal, I find a lot things wrong that I can fight with them about. I believe they offered me about 3k-4k less than what the car is actually worth.
Right now, with their offer, I am negative about 4k on my loan which I believe the gap coverage will pay off. I asked the auto insurance for a buy back price but they told me they cannot give me one right now because it all depends on how much they settle with me for.
Will i have issues dealing with GAP coverage? I have already been fighting with my insurance company for 2 months before they finally decided to settle. If i ask them to offer more, I am still in the negative, and my buy back price might go up. I contacted my bank and tried to get more information about the process but they stated that they cannot do anything until i get my settlement with the insurance company.
What worries me is ill settle for less with the auto insurance and then gap insurance will have an issue with what i settled form.
If i fight for more from auto insurance right now, i might end up paying a lot more for the buy back of the car.
Anyone else have experience with this? At the very least gap coverage process?
04-30-2016, 10:08 PM
#3
Community Organizer
I haven't experienced having to file a gap claim, but the whole point of it is to cover the difference. Have you tried calling the gap insurer to check with them yet? They have agents just like any insurance company. Ask them how much it covers or look over your gap agreement to see if there is a limitation or if you have certain obligations to fulfill on their behalf (requesting a reevaluation from the insurance for value for instance) before they will honor a claim
05-01-2016, 05:27 AM
#4
Man,
My condolences for having to go through this. It's bad enough to have your car broken into and damaged, but to have to deal with this kind of crap from your insurer is just abysmal.
Good luck as you work your way through it. Any luck on buying the car from the insurance company and repairing it yourself, or parting out? With GAP insurance, I'm not even certain which company you would buy it back from....
cheers,
My condolences for having to go through this. It's bad enough to have your car broken into and damaged, but to have to deal with this kind of crap from your insurer is just abysmal.
Good luck as you work your way through it. Any luck on buying the car from the insurance company and repairing it yourself, or parting out? With GAP insurance, I'm not even certain which company you would buy it back from....
cheers,
05-01-2016, 10:34 AM
#5
Why don't you let the two agents figure it out?
You have insurance and you have gap insurance. Your goal is to be made whole on the car value to debt. At a minimum gap would prevent you from being at a loss.
You have insurance and you have gap insurance. Your goal is to be made whole on the car value to debt. At a minimum gap would prevent you from being at a loss.
05-01-2016, 12:31 PM
#6
Yep, dealt with GAP on my daily when it was totaled.
Insurance offer was $16k, had ~$2 or 3k left on the loan after that. GAP (which is not insurance) covered it after my $500 deductible for GAP.
Again, GAP is not insurance. It is an addendum to your loan.
Honestly, if the car is a total loss and you have GAP, I'd just take their offer and then have GAP cover the remainder (minus your deductible for both insurance and GAP)
Insurance offer was $16k, had ~$2 or 3k left on the loan after that. GAP (which is not insurance) covered it after my $500 deductible for GAP.
Again, GAP is not insurance. It is an addendum to your loan.
Honestly, if the car is a total loss and you have GAP, I'd just take their offer and then have GAP cover the remainder (minus your deductible for both insurance and GAP)
05-01-2016, 05:15 PM
#7
Moderator
What ins company are you with?
Trending Topics
03-25-2020, 10:20 AM
#8
Yep, dealt with GAP on my daily when it was totaled.
Insurance offer was $16k, had ~$2 or 3k left on the loan after that. GAP (which is not insurance) covered it after my $500 deductible for GAP.
Again, GAP is not insurance. It is an addendum to your loan.
Honestly, if the car is a total loss and you have GAP, I'd just take their offer and then have GAP cover the remainder (minus your deductible for both insurance and GAP)
Insurance offer was $16k, had ~$2 or 3k left on the loan after that. GAP (which is not insurance) covered it after my $500 deductible for GAP.
Again, GAP is not insurance. It is an addendum to your loan.
Honestly, if the car is a total loss and you have GAP, I'd just take their offer and then have GAP cover the remainder (minus your deductible for both insurance and GAP)
"Regular" insurance companies don't have a good grasp on collectible/classic cars. You have to do some convincing that their algorithm doesn't quite apply to your particular vehicle. Showing sales information from around the area or even nationally (auctions) can help change their minds.
After you've done what you can just hand it over to the Gap people if you're still under.
03-25-2020, 10:28 AM
#9
A car is worth blue book and no more when it comes to insurance and loans. They do not care if it is collectible and people are paying more than that. You can sometimes get them to wiggle a bit, but in the end, its blue book value for the most part. That is why you wont find a bank willing to loan $50k on a CR with 80,0000 miles on it. ... to them it is worth whatever blue book is because that is all insurance will give you.
Gap should cover the gap as that is what it is for.
In the future, if you replace the S2k, I highly recommend a garaunteed value policy like Hagerty and some others. You set the value up front, they set the rate based upon that and you get that amount if it is stolen or totalled regardless of mileage or anything else. I paid $12k for my 01 when I bought it and have it insured for a lot more than that with Hagerty to avoid this very thing.
Sorry you are having to deal with this crap! Good thing though is you DO have a gap addendum so you should at least end up ok on the loan. But do fight for every penny the insurance will give you. Dont accept the first offer since they likely will lowball a bit and if you say ok that is that.
Gap should cover the gap as that is what it is for.
In the future, if you replace the S2k, I highly recommend a garaunteed value policy like Hagerty and some others. You set the value up front, they set the rate based upon that and you get that amount if it is stolen or totalled regardless of mileage or anything else. I paid $12k for my 01 when I bought it and have it insured for a lot more than that with Hagerty to avoid this very thing.
Sorry you are having to deal with this crap! Good thing though is you DO have a gap addendum so you should at least end up ok on the loan. But do fight for every penny the insurance will give you. Dont accept the first offer since they likely will lowball a bit and if you say ok that is that.
03-25-2020, 11:10 AM
#10
lols @ bumping 4 year old thread..
These two.
"Regular" insurance companies don't have a good grasp on collectible/classic cars. You have to do some convincing that their algorithm doesn't quite apply to your particular vehicle. Showing sales information from around the area or even nationally (auctions) can help change their minds.
After you've done what you can just hand it over to the Gap people if you're still under.
"Regular" insurance companies don't have a good grasp on collectible/classic cars. You have to do some convincing that their algorithm doesn't quite apply to your particular vehicle. Showing sales information from around the area or even nationally (auctions) can help change their minds.
After you've done what you can just hand it over to the Gap people if you're still under.
A car is worth blue book and no more when it comes to insurance and loans. They do not care if it is collectible and people are paying more than that. You can sometimes get them to wiggle a bit, but in the end, its blue book value for the most part. That is why you wont find a bank willing to loan $50k on a CR with 80,0000 miles on it. ... to them it is worth whatever blue book is because that is all insurance will give you.
Gap should cover the gap as that is what it is for.
In the future, if you replace the S2k, I highly recommend a garaunteed value policy like Hagerty and some others. You set the value up front, they set the rate based upon that and you get that amount if it is stolen or totalled regardless of mileage or anything else. I paid $12k for my 01 when I bought it and have it insured for a lot more than that with Hagerty to avoid this very thing.
Sorry you are having to deal with this crap! Good thing though is you DO have a gap addendum so you should at least end up ok on the loan. But do fight for every penny the insurance will give you. Dont accept the first offer since they likely will lowball a bit and if you say ok that is that.
Gap should cover the gap as that is what it is for.
In the future, if you replace the S2k, I highly recommend a garaunteed value policy like Hagerty and some others. You set the value up front, they set the rate based upon that and you get that amount if it is stolen or totalled regardless of mileage or anything else. I paid $12k for my 01 when I bought it and have it insured for a lot more than that with Hagerty to avoid this very thing.
Sorry you are having to deal with this crap! Good thing though is you DO have a gap addendum so you should at least end up ok on the loan. But do fight for every penny the insurance will give you. Dont accept the first offer since they likely will lowball a bit and if you say ok that is that.