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How do I get a gap waiver?

My dealership recommended I get a gap waiver on my new car. How do I get that? My car insurance offers gap insurance; is it the same thing?

avatar
Emily Maracle · Updated on
Reviewed by Shannon Martin, Licensed Insurance Agent.
Both gap waivers and
gap insurance
are used interchangeably, but they do have distinct differences.
A gap waiver is a term that dealerships or lenders use, while gap insurance is a term often used by insurance companies. Typically gap insurance through your insurance company is cheaper.
Both essentially have the same function: in the event your car is totaled, both will pay the difference between the
actual cash value
of your car and the remaining balance on your loan after the insurance company payout.
If your current car insurance company doesn’t offer gap insurance, consider switching to a new company. Download the
Jerry
app to compare rates from top insurance companies. Jerry helps you find the best rate for your new insurance and gap insurance policies.
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