Should You Buy Gap Insurance On New Car 【2025】

Check your loan-to-value ratio today. If you owe more than the car is worth, get covered. If you want to tailor this post further, let me know:

GAP insurance is about peace of mind. If writing a multi-thousand-dollar check for a car you can no longer drive sounds like a nightmare, the small annual fee is well worth it. should you buy gap insurance on new car

Here is everything you need to know about GAP insurance and whether it’s a smart move for your wallet. What is GAP Insurance? Check your loan-to-value ratio today

If you paid 25% or more upfront, your loan balance is likely already lower than the car's value. If writing a multi-thousand-dollar check for a car

If you put less than 20% down, you are likely "underwater" on your loan immediately.

If you’re paying the car off in three years or less, you'll reach "equity" very quickly. 💡 Pro Tip: Don’t Buy at the Dealership