Many auto insurance companies, like Metlife & Travelers, offer Gap insurance (sometimes called Guaranteed Auto Protection) to pay off the difference between your loan and the market value of your car, which your car insurance company pays, when your car is a total loss. Some auto insurance companies, like Progressive insurance, offer a limited version of gap insurance, called Loan/Lease Payoff Coverage.

When you buy a new or used car, many dealerships want you to buy their gap insurance. Who has the least expensive gap coverage? What is the best gap insurance coverage, or the best way to buy it? Do you need gap coverage? This blog post will give you the information to help you make an informed decision about gap insurance / loan or lease Payoff coverage. Continue reading →