Gap Insurance Calculator
Calculate gap insurance costs and determine if you need coverage. See how much gap insurance could save you if your vehicle is totaled or stolen.
Step 1: Vehicle & Loan Details
Understanding Gap Insurance
Gap insurance covers the difference between what you owe on your loan and the actual cash value of your vehicle if it’s totaled or stolen. This gap exists because vehicles depreciate quickly in the first few years.
Step 2: Insurance & Depreciation
When Do You Need Gap Insurance?
Gap insurance is most valuable when you have a small down payment, long loan term, or drive a vehicle that depreciates quickly. It’s typically recommended for new cars and leased vehicles.
Gap Insurance Analysis
Potential Gap Amount
Insurance Type Comparison
| Insurance Type | Annual Cost | Coverage if Totaled at 12 Months | Net Benefit |
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Vehicle Depreciation vs. Loan Balance
Gap Insurance Formula
Gap Amount = Loan Balance – Actual Cash Value
To calculate gap: Subtract your vehicle’s actual cash value (purchase price minus depreciation) from your remaining loan balance. Gap insurance covers this difference if your vehicle is totaled or stolen.
Need Professional Gap Insurance Advice?
Connect with our insurance experts for personalized gap insurance recommendations, coverage analysis, and help finding the best rates for your vehicle.
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