Oasis Insurance

Guaranteed Auto Protection insurance, more commonly known as GAP insurance is a financial bridge for people who are not owners of their vehicles. This insurance coverage is the bridge between what a financial person is on his vehicle and that vehicle is estimated at a value. GAP insurance is designed to reimburse the difference between the market value of the vehicle at the time of the accident and the amount you owe on your vehicle loan. GAP Insurance can be purchased by a person who has obtained a loan on a new vehicle and can also be purchased by drivers who lease a new vehicle.

New cars lose their value quickly in a few months, sometimes up to 20-30 percent. This means that if you're in a car accident shortly after purchasing or leasing a new vehicle without GAP insurance, you could end up paying the difference between 20-30 per cent of the price at which you purchased your vehicle and the market value of the vehicle at the time of the accident.


The following explanation is an example of how GAP insurance can cover you, your vehicle and your wallet:

You buy a car for $ 20,000, put $ 2,000 down and get a loan of $ 18,000. In the first month of purchase of your new vehicle, you are in an accident and the total cost of your new vehicle and the insurance company is willing to pay $ 15,000 to settle the insurance claim. You still owe $ 18,000 on the car, so $ 15,000 is the value of your car when the accident would not be sufficient funds to cover fees for the vehicle. Even if you paid more for vehicle than it currently has a value in the first month, the car has already depreciated. If you purchase GAP insurance, the insurance company would cover the difference between the offer of the insurance claim was settled and what you owe on the car, which would be $ 3,000. Without GAP insurance, you as an individual would be responsible for costs out of pocket expenses incurred as a result of the accident.


GAP coverage is not a compulsory part of global insurance contract vehicle, and although the purchase of this type of vehicle insurance is strongly recommended, the financial institution that you receive your loan at no require it. There are, however, certain leases that state, it is compulsory for tenants to take out GAP insurance, and some companies hire vehicles could include GAP insurance within the lease for a fee.

If you just buy a new car you are interested to buy GAP insurance coverage, contact an insurance agent insurance at the Oasis. Oasis Insurance has several locations in the valley and proud of its exceptional customer service as well as being a supplier of the lowest rates for car insurance and other types of insurance as the tenant's insurance, insurance home insurance, boat, and more. The staff at Oasis Insurance works with over 30 insurance companies so they can always find you the lowest insurance rates possible.