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You could lose more than your vehicle if it’s stolen or involved in a major accident. You could lose your investment. Because most insurance policies only cover the Actual Cash Value of your vehicle - something that rapidly declines during the first few years of ownership - your loan balance could be higher than what your insurance company will pay in the case of a claim. For just $275 for the life of the loan, you could be protected.
GAP Insurance covers the difference between your primary carrier insurance settlement and the payoff of your loan on the date of the loss. Included in this coverage is your insurance deductible up to $1,000. GAP Insurance also pays an additional $1,000 towards the purchase of a replacement vehicle when financed through UMassFive College Federal Credit Union.
For questions or assistance, contact a friendly UMassFive representative today!