What Is New York Gap Automobile Insurance

Find out what New York Gap Insurance Is and why you may or may not need it.

Congratulations! You Just Bought A Car…

If you have ever purchased a new vehicle, it is likely that you felt enormous relief as you drove it off the lot. Between haggling with the salesman, securing financing with your bank and obtaining the proper insurance, there is nothing quite like taking your brand-new car for an inaugural spin around the block.

But what happens if your new car is involved in an accident and totaled before you even get a chance to enjoy it? You just plunked down $25,000 for a luxury sedan and before you could blink, it’s a heap of twisted metal thanks to the all-to-common traffic accident. If you think that your standard insurance will replace the car for the exact amount of the purchase price, you are wrong. In the event that your car is totaled while you still owe more than it’s worth, you could be strapped with a costly expense that you didn’t see coming. New York Gap Insurance provides new vehicle owners and leasers with the necessary financial protection should an unfortunate accident occur.

Do The Math…

Say you purchased a car for $25,000. You have only been able to make a few payments before it is totaled so your loan balance is still fairly high at $23,500. At the time of the accident, the insurance adjuster tells you it is only worth $22,000. How could this be? It is a fact that vehicles depreciate very quickly and in less than 90 days, they are typically worth 30% less than the day you purchased it. Your comprehensive and collision coverage will cover $21,500 (you are responsible for a $500 deductible) so that leaves you owing a costly $1,500 for a car that you can’t even drive anymore. The good news is that you can avoid this costly situation by purchasing New York Gap Insurance.

 

Play It Safe With New York Gap Insurance…

New cars are expensive enough so be sure to protect your investment with the right kind of insurance coverage. If your vehicle is completely wrecked during a traffic accident, a natural disaster like a flood or hurricane, or even by theft and vandalism, having New York Gap Insurance could potentially save you thousands of dollars. Counting solely on your comprehensive and collision insurance to provide complete coverage in the event that your vehicle is totaled within the first few days, weeks or month’s of ownership could prove to be an expensive mistake.

Before you sign on the dotted line and hand the car salesman a banker’s check, make sure to contact your auto insurance agent and insist that your new purchase is covered by New York Gap Insurance – a relatively inexpensive way to financially protect your new investment.