Gap Insurance

There are many different kinds of insurance policies available to help protect you in almost any circumstance. In fact, many drivers are not even familiar with every insurance option out there. One type of policy that can be useful in some cases, but which sometimes gets overlooked, is called gap insurance.

If you are looking for the right car insurance for you, Insure on the Spot can make your search quick, efficient, and easy. We can send you free Chicago auto insurance quotes and provide information about different available policies. Call us today at 773-202-5060.

Do You Need Gap Insurance?

As the name suggests, the purpose of gap insurance is to cover the gap between what your insurance policy covers and what you owe to a creditor. For example, say you took out a loan to buy your car, but have since been involved in a serious car accident. The value of your car has diminished, but you still owe your lender the full cost of the car and any interest you have accumulated.

This is where gap insurance comes in. If there is a difference between how much money you have received from your insurance benefits, and how much you owe your lender, your gap insurance will cover at least part of it. If you had to take out a large loan, or the car is seriously damaged, this kind of coverage can be a great help.

Gap insurance is also used by people who rent cars; in fact, many rental agencies require their customers to carry such a policy. The coverage may be part of the cost of renting the car, or you may be able to find and purchase your own gap insurance. If you are in an accident while driving a rented car and your regular insurance does not cover what you owe the rental agency, this coverage is important.

Contact a Chicagoland Auto Insurance Agent

Whatever kind of auto insurance you need, Insure on the Spot makes it easy to find and purchase it. Contact our Chicago car and motorcycle insurance agents today at 773-202-5060.