Quote:
Originally Posted by OkieSnuffBox
Good to know, I didn't realize it only covered a total loss.
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Well, at least in the U.S., your regular insurance is supposed to cover both the cost of repairs and diminished value from the crash. But its hard to prove the diminished value and even harder to get.
What's funny about gap insurance (the difference between what you owe and what the car is worth) is that you should probably NEVER, EVER buy it (especially in the current used car climate). Specifically, given that new cars are worth more than they cost most of the time and even cars that are 1 or 2 years old are worth close to what you bought them for, there simply is no need for gap insurance because it is very unlikely that a "gap" will ever exist.
Furthermore, how many people here are financing almost the entirety of their cars??? Almost everybody has, at least, a trade-in worth at least 5 - 10k that they roll into their down payment. In other words, if you financed every dime of this car because you had to, you probably shouldn't be buying it in the first place.
BTW - I bet insurance companies are still selling it for about what they used to and stupid people that ROUTINELY over-insure for things they actually should be self-insuring for regularly pay it thinking they are being safe and SMART. Uh, no... Those insurance companies are laughing themselves all the way to the bank.