Guaranteed Asset Protection (GAP)

GAP waives the difference between what you owe on your vehicle and what your insurance company will pay*

In the unfortunate event your vehicle is declared a total loss due to an unrecoverable theft or accidental damage, your auto insurance company will typically pay the current market value of your vehicle less your deductible. But what if your loan or lease balance is higher than the market value of your vehicle? Answer: You would be responsible for paying off the difference, including your deductible.

This can be expensive.

The reason for the potential difference is that normally the loan/lease balance decreases at a predictable amount as monthly payments are made. However, the market value of your vehicle is influenced by several variable factors (e.g. supply, demand, mileage). This means that market value often may be lower than your outstanding balance – particularly early in your contract when you have the most to lose. GAP can help waive the difference from the current market value of your vehicle.

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Highlights of Our Coverage:

  • 96 Max Term Limit
  • 120% and 150% Coverage Limit
  • Protects New and Used Vehicles Valued up to $100,000
  • Commercial Usage Available
  • Customized Options Available Upon Request
  • OEM (TFS ©, FMCC©) Approved Forms for financing

Are You Prepared To Pay The Difference?

Is the amount you receive from your insurance company enough to pay-off your loan or lease balance if your vehicle is declared a total loss?

For example:

Insurance Settlement

Market value of vehicle*


Amount you owe on loan or lease




In this example, the answer is No!

The difference illustrates what you would still owe your lender without GAP.
The above is an example for illustrative purpose. Your situation will vary as to loan/lease balance and insurance coverage proceeds.

The Choice Is Yours…

GAP is an optional form of protection available only at the time you sign your Retail Finance or Lease Contract with the dealership. If you would like to know more about GAP, ask to see the GAP agreement. Limitations, terms and conditions may vary by state.

*Based on your insurance company paying NADA Retail Value for the vehicle at the time of loss. The amount waived will not include any amount financed in excess of 120% of the MSRP for new vehicles or 120% of the NADA average retail value for used vehicles on the date of contract. The percentage may vary. See the GAP agreement for specific details. Additional adjustments may apply. See GAP agreement for specific details.

Download our product materials to learn more about Guaranteed Asset Protection (GAP) coverage.



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