Do You Need Gap Insurance for a Pre-Owned Vehicle?

When the time comes for your next pre-owned Cadillac, look no further than Zeigler Cadillac of Lincolnwood. We’re excited to match drivers with the perfect luxury performance vehicle at the perfect price, and when you purchase a pre-owned vehicle, you can save big on the cars you love. We’re also sharing everything you need to know about protecting that vehicle, with a closer look at gap insurance support.

What is Gap Insurance

Before you can decide if your pre-owned vehicle needs gap insurance coverage, it’s useful to understand what gap insurance is. Gap (guaranteed asset protection) insurance is designed to cover the distance between what is covered by the insurance company and what the value of the vehicle actually is. It is most useful in the event that your vehicle has been stolen or totaled.

Does My Pre-Owned Vehicle Need Gap Insurance Coverage?

Gap insurance coverage is typically required for leases, as it helps to protect both the owner and the dealership in the event of damage or theft. But does your pre-owned vehicle need it? The short answer is, it depends.

Gap insurance is really designed to provide financial protection when it comes to car coverage, which is why it may not be required for every pre-owned vehicle. Here are some of the circumstances where you’ll want to purchase it for your car:

• Owe more than the value of the car
• Have a long loan term
• Paid less than 20% on the day of purchase
• Your car is three years old or newer
• Your vehicle has a high depreciation rate

Find a Pre-Owned Vehicle at Zeigler Cadillac of Lincolnwood

Here at Zeigler Cadillac of Lincolnwood, we’ll answer your pressing Cadillac financing questions and will help you get the peace of mind you deserve on every drive. Take your first ride in a pre-owned vehicle at our dealership today.