You may hear a great deal about buying a new vehicle and the amount of depreciation that happens from the moment that you drive off of the lot. The good news is that if you have gap insurance, it can help to recover some of the cost if you happen to have a total loss or your vehicle is stolen. Many people are unaware of what gap insurance is or if they even need to invest in it. However, when you work with our friendly staff at Kearny Pearson Kia, we will do whatever we can to make sure that you have the advice and guidance you need to make a smart buying or leasing decision.
What Is Gap Insurance
Gap insurance stands for guaranteed asset protection and it is a kind of insurance that car owners will purchase to help protect them from loses that can arise from theft or total loss in an accident. Whatever the amount is between the fair market price of the vehicle and what you owe on your loan, gap insurance is there to take away some of that financial burden.
There are several situations that you may need gap insurance when you buy or lease a new Kia Sorento or Kia Soul, including:
- You have traded in a vehicle where you are upside down on the loan, meaning that you owe on the loan balance.
- You purchased a vehicle that has a poor resale value.
- You financed your vehicle with only a small down payment or no down payment at all.
- You plan on putting on a lot of miles in a short period of time.
No matter what the scenario might be, our Kia finance team at Kearny Pearson Kia can offer any advice you need on gap insurance. Call us today at (844) 824-9673 or stop by to talk with us in person at 7303 Clairemont Mesa Blvd in lovely San Diego, CA.