Allstate Car Insurance Gap Coverage: What You Need to Know

What is Gap Coverage?

Gap coverage is an auto insurance coverage that helps to protect drivers in the event of an accident. When you purchase a car, the cost of the car decreases over time as it depreciates. Unfortunately, if you were to get into an accident, the cost of the repairs could be more than the car is worth. Gap coverage is designed to help bridge the gap between the cost of the repairs and the current value of the car, ensuring you are not left with a hefty bill.

Who Needs Gap Coverage?

Gap coverage is important for those who have an auto loan or lease. If you are financing a car, your auto insurance policy may not cover the full cost of the car should you get into an accident. Gap coverage helps to make sure that you are not left with the additional cost of the car.

What Does Allstate Gap Coverage Include?

Allstate’s Gap Coverage includes coverage for the difference between what you owe on your auto loan or lease and the actual cash value of the car. Allstate Gap Coverage also offers coverage for up to $1,000 in sales tax, license plates, and registration fees, as well as coverage for any negative equity you may have on your loan.

How Much Does Allstate Gap Coverage Cost?

The cost of your Allstate Gap Coverage will depend on various factors, such as the age of the car and the make and model. Generally speaking, the cost of Gap Coverage will be between $20 and $30 per year.

What Are Some Other Benefits of Allstate Gap Coverage?

In addition to helping drivers bridge the gap between the cost of repairs and the actual cash value of the car, Allstate Gap Coverage also offers drivers the peace of mind that comes with knowing that the financial burden of an accident is taken care of. Allstate Gap Coverage also helps to protect drivers from the cost of sales tax, license plates, and registration fees, as well as any negative equity that may be on an auto loan.

Is Gap Coverage Right for You?

Gap coverage is an important coverage for those who are financing a car. It is important to make sure that you are protected in the event of an accident, and Gap Coverage from Allstate can help to make sure that you are not left with a hefty bill should you be involved in an accident.

Overall, Gap Coverage from Allstate is an important coverage for those who are financing a car, and it is important to make sure that you understand what is included in the coverage. Gap Coverage from Allstate is an affordable auto insurance coverage that can help to protect drivers from the financial burden of an accident.