Gap insurance is an optional car insurance coverage that helps pay off your auto loan if your car is totaled or stolen and you owe more than the cars depreciated value.

Does gap insurance cover a rental car. If a totaled car is in the shop gap insurance will not cover a rental cars cost. It also helps you pay off your auto loan if you owe more than your vehicles actual cash value in the marketplace. Gap insurance covers the difference between the depreciated value of your car and how much you owe on a loan at the time of an accident.

Here are some of the things gap insurance wont cover. Credit cards are another option when it comes to rental car insurance. Gap insurance coverage is optional coverage.

While you need gap insurance if you owe more on a vehicle than its value gap coverage isnt required by any state as part of your car insurance policy. Youre leasing the car. Keep in mind that you need to use points from the qualifying credit card to reserve andor pay for the car rental.

If your credit card comes with rental car insurance keep in mind a few questions you should ask the issuer. Gap insurance may also be called loanlease gap coverage This type of coverage is only available if youre the original loan- or leaseholder on a new vehicle. Many car owners believe gap insurance is a catch-all policy that makes their car payments anytime theyre unable to.

If you use points to pay for all or part of your car rental use your qualifying credit card to pay the remainder and then present your card at the rental car agency you will be covered. And Canada wont cover you south of the border. Your regular insurance policy may pay for a rental car in the event that you need a rental after a car accident.

The answer is most likely no your regular car insurance which covers you in the US. GAP insurance covers the difference between what you owe and what you are paid in an insurance claim. You could however have protected yourself with a three year Lease HireContract Hire Gap Insurance policy with Deposit Protection.