GAP Protection: Help Cover What Auto Insurance May Not

Extra protection for your vehicle loan
car parked on the side of highway US 1

Don't Let a Total Loss Leave You Owing Money

When a vehicle is declared a total loss or stolen, your auto insurance may not pay enough to cover the remaining balance on your loan. GAP (Guaranteed Asset Protection) helps reduce the financial burden by waiving the difference between your insurance settlement and your remaining loan balance, subject to program terms and conditions.

Why GAP Matters

The moment you drive a vehicle off the lot, its value can begin to depreciate. In many cases, the remaining balance on your loan may be higher than the vehicle's value during the early years of ownership. If your vehicle is totaled or stolen, you could be responsible for paying the difference between your insurance settlement and what you still owe on your loan.

GAP Protection helps close that financial gap.

Benefits of GAP Protection

  • Helps cover the difference between your insurance settlement and remaining loan balance, subject to program terms and conditions
  • Available when financing a new or used vehicle

  • May include coverage of your insurance deductible up to $1,000, where available*

  • Can help protect your savings from unexpected out-of-pocket expenses
  • Provides added peace of mind throughout your loan term

How GAP Works

Example Scenario

Suppose your vehicle is declared a total loss:

Remaining Loan Balance: $15,000
Insurance Settlement: $10,000
Unpaid Balance Without GAP: $5,000

Without GAP, you could still owe $5,000 after your insurance company settles the claim. With GAP Protection, that remaining deficiency may be waived according to the terms of the program.

Who Can Benefit from GAP?

GAP Protection may be a smart choice for:

  • Drivers financing a new vehicle
  • Drivers financing a used vehicle
  • Members with long-term auto loans
  • Members with smaller down payments
  • Members who want additional financial protection beyond standard auto insurance

GAP may be available for eligible automobiles, vans, light trucks, motorcycles, boats, travel trailers, motor homes, golf carts, jet skis, and snowmobiles.**

Why Choose Dade County Federal Credit Union?

At DCFCU, we're committed to helping members protect what matters most. GAP Protection is just one more way we help safeguard your financial well-being when the unexpected happens.

Whether you're purchasing a new or used vehicle, our team can help you determine whether GAP Protection is right for your situation.

Get a quote today!

Call 305-471-5080.

Frequently Asked Questions

What is GAP Protection?

Guaranteed Asset Protection (GAP) is a voluntary, non-insurance program that helps waive the difference between your primary insurance settlement and the payoff balance on your vehicle loan, subject to program limitations and exclusions.

Is GAP Insurance?

No. GAP is a loan/lease deficiency waiver and is not offered as insurance coverage.

Does GAP replace auto insurance?

No. GAP is designed to enhance your existing insurance coverage, not replace it.

Is GAP optional?

Yes. GAP is completely optional and does not affect your application for credit or the terms of your loan.

Can GAP cover my deductible?

In many cases, GAP includes deductible assistance up to $1,000, where available and subject to program terms.

*Deductible waiver is available in most, but not all states. Please consult your financing representative for the availability of this benefit. **GAP is subject to limitations and exclusions, please consult your financing representative to determine if your vehicle is eligible for GAP.