Guaranteed Asset Protection (GAP)
You may need more than insurance to protect your investment.
Even the best insurance may not cover the entire amount you
owe on an auto loan. In fact, if the average new car owner has his or her vehicle stolen or damaged beyond repair, he or
she could still owe thousands of dollars after the insurance settlement.
Guaranteed Asset Protect (GAP)* makes up the difference between what insurance covers and the amount you owe in most cases.
So, instead of paying off a substantial loan balance, you could be free and clear.
How it Works
Say you owe $14,000 on your vehicle**, and it's damaged beyond repair in an accident. After subtracting your deductible,
the insurance company awards you $11,000 for the damage.
|
Without GAP, you would pay out of pocket to cover the remaining $3,000 loan balance.
|
| Your loan balance |
$14,000 |
| Your insurance company pays |
$11,000 |
Remaining loan balance
(out-of-pocket expense) |
$3,000 |
|
With GAP, your remaining loan balance is paid.
|
| Remaining loan balance |
$3,000 |
| GAP benefit |
$3,000 |
| Out-of-pocket expense |
$0 |
View the brochure for complete details.
GAP Cost:
The cost of GAP is a one-time premium and covers the length of the loan term.
- $395 for automobiles, trucks, vans, and sport utility vehicles
Contact an Insurance Specialist
- Discuss your needs over the phone, or schedule an appointment by calling 800/462-8328 ext. 4389, Monday through Friday, 9 a.m. to 5 p.m.
- Email insurance@SchoolsFirstfcu.org
*GAP benefits do not include: loan interest accrued after the date of loss; amounts added to the loan after the loan has been funded, including late charges or other fees; delinquent payments, or any skipped payments more than 90 days past due; credit insurance premiums; Mechanical Breakdown Protection or service contract fees; deductions made by your primary insurance carrier for damages previously paid to you; portion of loan that exceeds 125% of MSRP (new autos) or 125% of Kelley Blue Book retail value (used autos); salvaged or reconstructed vehicles; vehicles used for commercial purposes; vehicles titled under a business or used to carry passengers for hire (i.e., taxi cabs, limousines); losses due to forgery, dishonest acts or intentional losses. GAP is not insurance, not a deposit, is not federally insured by the NCUSIF, and is not underwritten or guaranteed by SchoolsFirst FCU. Subject to eligibility requirements.
**Information in example provided for illustration purposes only. Actual insurance settlement and GAP benefit may vary.
