How to Know If Gap Insurance Is Included in the Lease of a Car?

by Joey Campbell ; Updated July 27, 2017
Unside Down In Value? Get Gap Insurance

Knowing you have gap insurance provides big relief in the event your new leased car is wrecked. If your insurance company totals out the car, it will only pay for the actual value of the car. If your balance is higher, you could owe the difference. Gap insurance protects you against having to pay the difference between what the car is worth and what your standard insurance will cover.

Step 1

Go over the entire lease with your car dealer when you lease a vehicle, and ask about gap insurance. Have him show you the information on gap insurance and if it is included in your lease. Ask about the cost. You can sign up for it at the time you lease your vehicle.

Step 2

Pull all of your car lease documents and look through it to see if there is a provision regarding gap insurance.

Step 3

Call your car dealer, ask for the insurance department, and have a representative check to see if you accepted the gap insurance offered when you leased the vehicle. Ask for a copy if you cannot find yours.


  • Dealers charge high dollars for gap insurance. Check with your own insurance agent for a quote. You can shop online for gap insurance as well.


  • Your car dealer might make it sound as though it is mandatory to buy gap insurance. While it is a good idea to have it, it isn't required.

About the Author

Joey Campbell spent eight years in real estates sales and property management. She has been active in residential and commercial mortgage for the past 23 years in the Southeastern U.S. Campbell has attended hundreds of seminars, and has written and conducted workshops on subjects such as credit, debt excelleration and prequalifying for residential mortgages.

Photo Credits

  • the future is here image by John Fatuzzo from
bibliography-icon icon for annotation tool Cite this Article