Here at Mercedes-Benz of Orange Park, we know the auto industry can sometimes be overwhelming and confusing to drivers. Buying a new Mercedes-Benz car can even seem like a chore with the endless options and features available on the market today. Not to mention, the financing of a vehicle can be an extremely tedious and time-consuming task. But, you don’t need to worry about any of that, because the staff at Mercedes-Benz of Orange Park is comprised of experts that help you with any of your car buying needs.
For example, gap insurance is something most drivers haven’t even heard about, yet it’s extremely important. Gap insurance is simultaneously a simple and complex topic to understand for drivers. That’s because it primarily applies to drivers who have taken out loans to finance their vehicle, or drivers who are leasing.
Essentially, gap insurance works in tandem with collision and comprehensive insurance to protect your vehicle. Hence the name, guaranteed asset protection, or gap. It covers the difference between what your vehicle is worth and the amount you still owe on it—regular insurance does not cover this. This means that if you total your vehicle, gap insurance will protect the value of the vehicle and allow you to pay back your loan or lease on the vehicle. The financial representatives at our Mercedes-Benz dealership serving St. Augustine, FL are happy to help you go over the specific terms of buying gap insurance.
Do you need it? It’s advised to consider it if you fall into one of the following categories:
- Made less than a 20-percent down payment
- Financed for more than 60 months
- Leased the vehicle
- Purchased the vehicle with a faster-than-average depreciation
- Rolled over negative equity from a previous loan
Now that you know more about gap insurance, contact us at Mercedes-Benz of Orange Park to see if you qualify!