Should You Buy Gap Insurance (2027)

: Gap insurance pays the remaining debt to your lender so you aren't stuck paying for a car you no longer own. When You Should Buy It

Buying gap insurance is a strategic financial decision that depends on whether you are "underwater" on your vehicle loan—meaning you owe more to your lender than the car is actually worth. should you buy gap insurance

: You bought a luxury vehicle or a model known for losing value quickly. : Gap insurance pays the remaining debt to

Guaranteed Asset Protection (GAP) insurance covers the "gap" between your car's and your outstanding loan or lease balance . should you buy gap insurance

Consider gap insurance if any of the following apply to your financing or vehicle choice:

: Your repayment period is 60 months or longer .