Total Loss Protection
It’s called the “gap.” It’s the difference between the Amount Owed on your Retail Installment Sales Contract/Lease Agreement and the Actual Cash Value of your vehicle at the time of a Total Loss.
The Amount Owed does not include missed payments, payment extensions, deferred payments, accrued interest, late fees, disposition fees, penalty fees, early termination fees or finance charges incurred after the date of loss. Also, if the insurance company valuation used to calculate the Actual Cash Value is less than 90% of the NADA value of your vehicle, the NADA value will be used in determining the “gap” amount waived (which means a smaller amount may be waived).
If your car is determined to be a Total Loss, this “gap” could translate into thousands of dollars that you would still owe after the settlement from the auto insurance company. The Plan excludes total loss claims denied by your automobile insurance company. This is an optional waiver product and not a product of insurance. It is not required for you to obtain financing for the purchase or lease of a vehicle.
- AVAILABLE FOR NEW AND USED VEHICLES VALUED OR FINANCED UP TO $100,000
- DEPENDING ON THE OPTION YOU CHOOSE, MAY WAIVE UP TO $1,000 OF YOUR INSURANCE DEDUCTIBLE
- MAXIMUM AMOUNT THAT MAY BE WAIVED IS THE LESSER OF $50,000 OR THE AMOUNT ACTUALLY OWED ON THE RETAIL INSTALLMENT SALES CONTRACT/LEASE AGREEMENT AS OF THE DATE OF LOSS
HOW IT WORKS: