What if your vehicle sustains damage, which results in the vehicle being deemed a “total loss” by the insurance adjuster, but you owe a finance company more than the actual cash value (ACV) paid by the insurance company to compensate you for your loss? Whether the damage is the result of an accident which would be covered by your collision coverage policy, or the result of vandalism which would be covered by your comprehensive coverage policy, the amount offered by the insurance company will not satisfy your debt to the financial institution and ultimately the burden falls on you to pay the remaining balance out-of-pocket.
It is important to note that depending on the extent to which your vehicle is damaged, it may be deemed a “total loss” by the insurance company, at which point you will be paid the actual cash value (ACV) of your vehicle instead of having the vehicle repaired. In this instance you will still be required to pay the deductible as stipulated on the Declarations Page of your auto insurance policy.
GAP Coverage is an insurance policy which will pay the difference between the amount offered by the insurance company as a result of the total loss determination and the amount you owe the financial institution.
Please take a moment to learn more about the vast array of auto insurance coverages offered by Ingram Insurance and Real Estate in Cheraw, South Carolina. Our team of insurance industry professionals has the experience and expertise to exceed your expectations. To schedule your appointment today, call (843) 537-9386 and one of our friendly agents will be happy to assist you.