Here at Honda Van Nuys, we believe the Honda finance process should be easy and accessible to everyone, whether you’re applying, exploring savings options, or learning about the best coverage for your car with GAP insurance. GAP insurance stands for Guaranteed Asset Protection and is designed to help you in the event of vehicle theft or totaling. Since it doesn’t cover everything, let’s examine your GAP gaps.
1. Replacement Parts
GAP insurance is designed to make up the difference between your regular insurance coverage and the vehicle’s value. It doesn’t cover replacement parts because they should be covered under your traditional insurance plan.
2. Total Vehicle Costs
In a similar vein, GAP insurance picks up where your traditional insurance leaves off. That’s why it doesn’t cover the entire value of a replacement vehicle if your car is totaled or stolen. You’ll still need to carry collision coverage on your car.
3. Minor Damage
If your vehicle is damaged but not considered totaled (the cost of repairs does not exceed the car’s value), then GAP insurance won’t cover repair costs. Traditional insurance coverage will address damage; GAP insurance will kick in if the vehicle is totaled or stolen.
4. Missed Car Payments
If you’re struggling to make payments, it’s best to speak with your dealership or vehicle purchasing team. GAP insurance isn’t designed to cover or make up missed payments.
5. Extended Warranties
There are many benefits to getting extended warranties for your vehicle like added protection and peace of mind. GAP insurance helps to provide peace of mind, but it’s not a maintenance agreement or extended warranty.
Learn About Coverage Options at Honda Van Nuys
Our team at Honda Van Nuys will help you with every stage of the vehicle purchasing process. Learn more about GAP insurance and find your next Honda car at our dealership today.
