Jeep Mopar GAP Program FAQs
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When you drive off the lot in your new Jeep, the last thing you want to think about is unexpected financial setbacks. However, accidents or theft can leave you owing more on your loan or lease than what your insurance will cover. That's where the Mopar Guaranteed Auto Protection (GAP) Program comes in. Designed to protect you from paying out-of-pocket for the "gap" between your vehicle's value and the remaining balance on your loan, this coverage can provide peace of mind when the unexpected happens. Here at Charlie's Chrysler Dodge Jeep Ram, we want to help you feel protected when you purchase a new Jeep. So below, we've answered the most common questions about Mopar GAP coverage to help you decide if this program is the right fit for you!
What Does Mopar GAP Program Cover?
​The Mopar Guaranteed Auto Protection (GAP) Program is designed to cover the financial shortfall that can occur if your Jeep is declared a total loss due to theft or accident. Specifically, it waives up to $50,000 of the difference between your vehicle's outstanding finance balance and its actual cash value at the time of loss. Additionally, the program includes coverage for your primary insurance deductible up to $1,000, providing further financial relief. This coverage is available for vehicles with a Manufacturer's Suggested Retail Price (MSRP) or National Automobile Dealers Association (NADA) value of up to $120,000 and accommodates finance agreements covering up to 150% of the vehicle's MSRP or NADA value, with terms extending up to 84 months.
Can You Provide an Example of How GAP Coverage Works?
For an example of how Mopar's GAP Program works, let's say your primary insurance assesses your vehicle's market value at $19,000 and applies a deductible of $1,000, resulting in a net market value of $18,000. If you have made all your payments on time, the outstanding finance balance would be $23,000, leaving a potential shortfall of $5,000 between what you owe and the insurance payout. With the Mopar GAP Program in place, this $5,000 gap is entirely waived, meaning you incur no out-of-pocket expenses in this scenario.
Why Should I Opt into GAP Coverage for My Jeep?
​The Mopar Guaranteed Auto Protection (GAP) Program is particularly beneficial for individuals who have financed or leased a Jeep with a low down payment, extended loan terms, or high interest rates, as these factors can lead to owing more than the vehicle's depreciated value. It's also advantageous for those who put more than average miles on their Jeep each year, which causes faster depreciation, or have rolled over negative equity from a previous vehicle loan into their current financing. By bridging the financial gap between the insurance settlement and the remaining loan balance in the event of a total loss, the Mopar GAP Program provides peace of mind and financial security to Jeep owners facing such circumstances.
How to Get Mopar GAP Coverage?
To get Mopar's Guaranteed Auto Protection (GAP) coverage for your Jeep, it's essential to address this option during the vehicle purchase process with the financing team here at Charlie's Chrysler Dodge Jeep Ram. GAP coverage is typically offered at the time you sign your retail finance or lease contract. It's important to note that GAP coverage is optional and is not insurance. For more details and to confirm eligibility, consult with your dealership's finance department during the vehicle purchase process.​
Get a New Jeep Near Toledo, OH
The Mopar GAP Program offers valuable financial protection for Jeep owners by bridging the gap between your vehicle's actual cash value and any remaining loan balance in the event of an unforeseen loss. Whether you're considering the coverage to safeguard against depreciation, to manage unexpected expenses, or simply for peace of mind, this program can be a wise investment when purchasing a new or pre-owned Jeep. Ready to learn more about the Mopar GAP Program or explore our latest Jeep inventory? Use the contact form below to get in touch with us, or browse our new Jeep selection online or in-store for your next adventure.