Everyone who owns a car knows they need insurance to cover Nissan repair service for accidents. But there’s another kind of insurance that’s important for many drivers – gap insurance.
How Does Gap Insurance Work?
As you may know, when you buy a new car or SUV, the vehicle will lose a lot of its value pretty quickly. This depreciation happens rapidly when a car no longer becomes new. Since your accident coverage and compensation with car insurance is based on the current value of a vehicle, this can mean that early in a car’s life, an owner can owe more in car payments than their insurance would cover in the case of a serious accident.
Of course, it would be terrible to find that on top of a collision experience, you can’t actually get insurance coverage for what you owe, and that’s where gap insurance comes in! While we want all our local drivers to be safe, if an accident does happen, gap insurance does just what it sounds like and covers the gap between what is owed on a vehicle and what regular insurance will cover.
Do Bedford Car Owners Need Gap Insurance?
There is no one right answer to this question, but there are a few things to consider. Did you buy a brand new Nissan car or a used Nissan SUV? Bedford, OH drivers who purchased a pre-owned model won’t have the same fast depreciation in the first few months of ownership that new car buyers experience. Your down payment and loan term can also affect how large the “gap” is between your insurance coverage and what is still owed on your vehicle. Luckily, our finance experts here at Bedford Nissan can help you run the numbers so you can get the insurance coverage you need. Call us any time to learn more about financing for your new Nissan model!
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