GAP Insurance Explained: What It Covers and How It Works
GAP is meant to cover what you owe on a car loan beyond the insurance payout for a totaled or stolen car. How negative equity creates that gap, and refunds.
GAP is meant to cover what you owe on a car loan beyond the insurance payout for a totaled or stolen car. How negative equity creates that gap, and refunds.
A lease pays for depreciation plus a rent charge; a loan pays for the whole car. Here is how money factor and residual work, with a 3-year cost example.
Car insurance prices fell 5.0% in the year to September 2026, per the BLS, after a 22.6% yearly rise at the 2024 peak. Why, and what it means at renewal.
The average new vehicle sold for $50,562 in September 2026, $52 short of the record, per Kelley Blue Book. Prices by segment, incentives and a payment example.