Just read a news story about a guy in Brooklyn who totaled his brand-new SUV only two months after buying it. Insurance covered the car's current market value, but he still owed thousands more on his loan. Apparently, he didn't have gap coverage, so now he's stuck paying off a car he doesn't even have anymore. Ouch.
Honestly, I never really thought much about gap insurance before—I figured regular insurance was enough. But now I'm second-guessing myself. I mean, cars depreciate so fast these days, especially if you're buying new or leasing. Seems like a pretty big gamble to skip it, especially with how crazy NY traffic can be (you know how it is).
Curious what everyone else thinks—is gap coverage something you always get, or do you think it's just another way for insurance companies to squeeze extra money out of us?
- Honestly, gap coverage makes sense for brand-new cars, but it's not a must-have for everyone.
- Personally, I buy used cars outright—usually classics—so depreciation isn't really an issue for me.
- If you're financing or leasing something brand-new, yeah, gap insurance can save you from a nasty surprise.
- But if you're careful about your down payment and loan terms, you might not need it.
- Insurance companies love selling extras, so just make sure it actually fits your situation before signing up.
Good points all around. I'd just add that in NY, with traffic and accident rates being what they are, gap coverage can be a smart precaution—even if you've got decent loan terms. Still, always crunch the numbers first to see if it's worth it for you...
"Still, always crunch the numbers first to see if it's worth it for you..."
That's a fair point. Honestly, as someone who's had my share of close calls in NY traffic, I'm usually skeptical about extra coverages—they often feel like upsells. But after narrowly avoiding a financial hit when my car got totaled last year (loan was decent, but depreciation was brutal), I've warmed up to the idea. Still cautious though...definitely agree that running your own numbers is key before jumping in.
