Additional Auto Insurance Coverage Options
Loss of Use
Also known as rental car coverage will pay for a rental car if your
vehicle is being repaired due to a loss that was paid for by the insurance
company. This does not cover rental cars for routine maintenance or
any other damage that is not caused by an accident that was covered
by your insurance company.
Also known as GAP coverage, this can be purchased from an auto loan
lender or a leasing company to cover you if the amount owed on your
loan/lease is greater than the current value of the vehicle. When you
drive a car off the lot it immediately loses value. If you were to take
out a $20,000 loan for a car, drive it for a year, and get into an accident
and total the vehicle, you would still owe the balance of the $20,000.
However, if your primary insurance company values the car at $15,000
then you would (without Loan/Lease Payoff) still owe the lender $5000
out of pocket. If you have purchased GAP coverage, this covers that
$5000 so that you do not have to pay it out of your own pocket.
Also known as Roadside Assistance, covers towing and roadside assistance
anytime including when you run out of gas, breakdown, or get in an accident.
Without adding towing coverage, you will only be covered for a tow if
it relates to an accident that your insurance company is covering.
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