Auto Insurance and Leasing
Auto Insurance and Leasing
When leasing a car, it’s easier to stick with the same company for your auto insurance. What you don’t know, however, is that you might end up paying too much for your coverage and it’s superior to look elsewhere for lower rates.
When you lease, the car that you will drive belongs to the leasing company. They want to make sure that their investment is covered in the event the car gets damaged, totalled or stolen. They typically want to get covered for the difference between what your auto-insurer pays and your outstanding leasing obligations at the time of the happening or damage. This is called GAP, short for Guaranteed Auto Protection, and is usually included in the leasing contract. If your leasing company is called BMW Financial Services, Chrysler Financial or any other finance division of an automaker, then chances are your GAP insurance will be offered by the same lease company.
You are under no obligation to accept GAP insurance included as part of your lease agreement. Why pay an insurance premium if you could get the same coverage for a lower price? Invest some time shopping by comparing quotes from other insurance companies, including your existing one. Ask for discounts that you already remember for and adjust your coverage accordingly.
Related posts:
- Auto Insurance Rates
- Auto Insurance, Reduce Costs But Maintain Protection
- Do You Have Enough Car Insurance?
- Auto Loan Options for People with Bad Credit
Did you enjoy this post? Why not leave a comment below and continue the conversation, or subscribe to my feed and get articles like this delivered automatically to your feed reader.
Comments
No comments yet.
Leave a comment