Is it better to get Gap through dealership or my own car insurance?

Ask the Hackrs
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1

I just leased a Mazda. Finance manager asked if I wanted GAP & I was so caught up in the actual deal & making sure everything went smooth that I never even thought about GAP… but I remember hearing some people say it’s better to get through your regular car insurance company? I have progressive. Thoughts?

Do I add on the GAP from the dealership or is it too late? I signed last night. When I asked the manager if I can think about it he said, “it better be fast”. But I don’t know what fast is to him.

Thank you so much everyone.

2

How much is GAP through Mazda (Toyota) vs. your insurance?

3

No, unless you like paying a massive markup.

4

Hi my Max!!! Thank you! Do you recommend I get it through my insurance company then (progressive?) It doesn’t say they offer GAP, per se, but it says “loan/lease payoff coverage, which is similar”.

5

Post the language of what they cover

7

Long story short…

Leased a new car on Monday – 2024 Mazda.

My old Mazda included GAP so I was super confused when the finance manager was asking me if I wanted to add it on. He was awful at explaining things & I was under the impression most cars include GAP so I thought he was trying to sell me something additional. Come to find out Mazda is now run by Toyota & does NOT include GAP.

I missed the window to add it on (the deal went through earlier than expected) but I know I need it.

What are my options? I have Progressive insurance that offers something similar to GAP insurance but isn’t as good/won’t cover as much. I’m in Illinois if that makes a difference.

Any advice? I feel like an idiot :smiling_face_with_tear:

Thank you all :two_hearts:

8

Take the Progressive policy. You don’t need more coverage than that.

9

There isn’t really a markup on GAP

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10

Progressive covers certain percentage whereas the GAP that dealership offers is way more than Progressive in percentage-wise

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11

No one needs more coverage than 25% of the car’s value on a CX50.

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12

Okay, but my point for you is there isn’t really a markup on GAP

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13

I’m sorry, Max, it’s a CX-5, not a CX-50. Does the same thing apply, no more than 25% is needed?

Also, I pretty much broke even with the trade on the lease, so no negative equity was rolled into this lease. So that means I’m not upside down, correct?

14

Exactly why I feel so sh*tty for not just taking it. I don’t understand why Toyota is one of the only companies that doesn’t include GAP. I didn’t have to think about this on my old Mazda. Thank you for replying :slight_smile:

15

Pretty much everything is upside down the moment you drive it off the lot.

What’s the difference in price between what the dealership offered and what progressive is offering?

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16

Some F&I guys are still writing GAP at $1399 lol

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17

It should be either $895 or $995

18

Same thing…

19

and what would you know @derekoh1991 about lecturing people with false info on GAP markup, etc?

It’s not like you work at a dealer now or did in the past :wink:

20

Hi! Thank you for responding :slight_smile: The dealership said it would be “about 20 bucks more a month”…when I got a quote from my insurance it would be about a dollar more a month. BUT, it’s not exactly gap through my insurance. They call it “loan/lease payoff coverage” & say “it’s similar”. They will cover up to 25% of the value of the car. So it’s not exactly the same but I guess I don’t have a choice at this point :smiling_face_with_tear:

21

This! I’ve heard so many people say their GAP cost them different amounts – some $500, others $600 or $700. I think it’s definitely possible for the F&I guys to increase the price & try to overcharge, like everything else lol. I recently found out the GAP insurance price is negotiable. Wish I knew all this sooner :broken_heart: