Whether you are looking to buy your first Mercedes-Benz car or you are trading in your current vehicle for a new one, you want to make sure that you know all the details of your loan or lease. When it comes to coverage, many people are either unaware of gap insurance or they have no idea whether they should have it as added protection. Our staff at Mercedes-Benz of St. Charles works with customers all the time to talk about gap insurance and all of the benefits. We have put together some information that explains gap insurance coverage a bit further.
Guaranteed asset protection, or gap insurance, is a form of coverage that works like a buffer if you get into an accident and your Mercedes-Benz C-Class Convertible is totaled or it gets stolen. Basically speaking, your insurance provider will only give you the fair market price for the vehicle. When you owe more than it is worth, you will be on the hook to pay for a car that you are unable to drive. The gap insurance helps to take up the difference between what you owe on the financing and what it is worth at the time of the loss.
Who Needs It?
Gap insurance is good for anyone who owes more on their vehicle than the amount it is worth. Additionally, there are some lease agreements that require gap insurance. The good news is that gap insurance coverage is very affordable at a few extra dollars per month and you do have the ability to cancel it once it is no longer necessary.
Let us help you find your next new Mercedes-Benz car at Mercedes-Benz of St. Charles located at 225 North Randall Road in beautiful St. Charles, IL. If you still have questions regarding gap insurance and your options, please give us a call in the sales department at (888) 459-2190.