How do I find out if I have gap insurance?

"I owe $2,000 on my loan after a car accident. Though I bought gap insurance, the insurer says they have no record of my coverage. My lender said they can refund me what I had paid for the gap insurance ($850), but I still have to pay for the rest of my loan out of pocket. What can I do?


“You should look into your finance agreement and find out if the gap insurance was added to your loan. You can also look into your monthly payments to see if you were being charged the fee for your gap insurance.
If you were being charged the fee, then you’ll most likely need to reach back out to your lender. With proof, they may be willing to negotiate on the amount, as you were being charged for something that you never received.
It is most likely that there was an error when someone finalized the paperwork at the dealership or with your lender.
If you do have proof and aren’t able to resolve the situation with whoever is responsible, you may need to reach out to your state’s Department of Insurance and Financial Services. They handle complaints as well as fraud within the industry.
Emily Maracle
Answered on May 03, 2021
Emily Maracle is a car insurance specialist living in New York. Originally from the Pacific Northwest, she has a degree in English Literature and a background in customer service. She enjoys cooking, gardening, and living sustainably. In the future, she can't wait to upgrade to a hybrid or electric car.

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