Refunding Gap Insurance
We specialize in recovering funds from mis-sold insurance, irresponsible lending, and excessive superannuation fees.
Here’s how it works:
✓ We review your information.
✓ We handle the claim submission for you.
✓ You receive your compensation!
✓ We handle the claim submission for you.
✓ You receive your compensation!
What is GAP Insurance?
Guaranteed Asset Protection (GAP) Insurance, also known as Shortfall or Motor Equity Insurance, is an optional add-on or ancillary insurance product designed to bridge the financial gap between the insurance payout and the remaining balance on your loan. This coverage comes into play if your vehicle is totaled, damaged in an accident, or stolen. The term “GAP” aptly describes its purpose – it fills the gap between what your insurance covers and what you owe on your loan, providing peace of mind.
In some cases, the insurance payout may fall short of the outstanding loan amount, creating a negative equity situation. This occurs because the insurer assesses the car’s value differently from what’s owed, potentially leaving you responsible for the difference as the car depreciates faster than the loan is paid off.
Conversely, if you’ve negotiated the car’s value with your insurer, you might find yourself in a favorable position where the insurance payout exceeds the car’s actual worth, resulting in a financial gain.
What is GAP Insurance?
Guaranteed Asset Protection (GAP) Insurance, also known as Shortfall or Motor Equity Insurance, is an optional add-on or ancillary insurance product designed to bridge the financial gap between the insurance payout and the remaining balance on your loan. This coverage comes into play if your vehicle is totaled, damaged in an accident, or stolen. The term “GAP” aptly describes its purpose – it fills the gap between what your insurance covers and what you owe on your loan, providing peace of mind.
In some cases, the insurance payout may fall short of the outstanding loan amount, creating a negative equity situation. This occurs because the insurer assesses the car’s value differently from what’s owed, potentially leaving you responsible for the difference as the car depreciates faster than the loan is paid off.
Conversely, if you’ve negotiated the car’s value with your insurer, you might find yourself in a favorable position where the insurance payout exceeds the car’s actual worth, resulting in a financial gain.
Why was GAP Insurance Purchased?
Gap insurance is typically presented as an option when securing a car loan, offering a sense of security in case you find yourself unable to cover the full balance owed on your vehicle financing. It’s marketed as a safeguard against the prospect of being burdened with paying off a car you no longer possess. However, it’s not uncommon for lenders to include this insurance in loan agreements without clear disclosure, either disguising it as a standard inclusion or incorporating it into the loan payments without the borrower’s explicit knowledge. Unfortunately, such practices do occur.
Why was GAP Insurance Purchased?
Gap insurance is typically presented as an option when securing a car loan, offering a sense of security in case you find yourself unable to cover the full balance owed on your vehicle financing. It’s marketed as a safeguard against the prospect of being burdened with paying off a car you no longer possess. However, it’s not uncommon for lenders to include this insurance in loan agreements without clear disclosure, either disguising it as a standard inclusion or incorporating it into the loan payments without the borrower’s explicit knowledge. Unfortunately, such practices do occur.
Examples of Mis-Sold Car Loan Insurance
Below are some typical instances illustrating how GAP insurance may be improperly marketed to consumers:
How can you determine if GAP Insurance was added to your policy without your knowledge?
Unfortunately, one common method of mis-selling involves lenders quietly incorporating GAP insurance into your original loan documents without your consent. According to Australian law, insurers are required to provide a product disclosure document for you to review before purchasing insurance. This document should help you decide if the insurance is suitable for you by informed choice.
However, many consumers report never receiving these documents, which would have alerted them to the insurance they unwittingly paid for. If you were fortunate enough to receive a Certificate of Insurance, it should contain an itemized list of purchased insurance products, including:
- Policy number
- Insurance period
- Premiums or costs
If any of the policy terms or information seem unclear, you can contact your insurance provider for clarification on the itemized details.
How can you reclaim mis-sold GAP Insurance?
Fortunately, we specialize in handling the entire claims process for you:
- Provide us with your details, including loan contracts if available (if not, we can assist).
- We analyze the details and reach out to you to finalize your claim.
- We submit your refund claim(s).
- You receive your reimbursement!
How can you determine if GAP Insurance was added to your policy without your knowledge?
Unfortunately, one common method of mis-selling involves lenders quietly incorporating GAP insurance into your original loan documents without your consent. According to Australian law, insurers are required to provide a product disclosure document for you to review before purchasing insurance. This document should help you decide if the insurance is suitable for you by informed choice.
However, many consumers report never receiving these documents, which would have alerted them to the insurance they unwittingly paid for. If you were fortunate enough to receive a Certificate of Insurance, it should contain an itemized list of purchased insurance products, including:
- Policy number
- Insurance period
- Premiums or costs
If any of the policy terms or information seem unclear, you can contact your insurance provider for clarification on the itemized details.
How can you reclaim mis-sold GAP Insurance?
Fortunately, we specialize in handling the entire claims process for you:
- Provide us with your details, including loan contracts if available (if not, we can assist).
- We analyze the details and reach out to you to finalize your claim.
- We submit your refund claim(s).
- You receive your reimbursement!
Frequently Ask Questions
Does GAP insurance cover the entire amount?
GAP insurance, also known as Guaranteed Asset Protection insurance, usually covers the car’s market value along with the outstanding balance on the loan. If a borrower has chosen to insure their car for its market value, this implies that they won’t receive complete reimbursement for the original amount paid, considering that cars start depreciating as soon as they are driven off the lot.
What does GAP insurance cover?
If you financed your car through a loan or car finance and it’s declared a total loss due to an accident, GAP insurance steps in to bridge the difference between what your comprehensive car insurer reimburses you and the remaining amount you owe to the lender.
Why was GAP insurance terminated?
GAP insurance remains an option within numerous comprehensive car insurance policies and contracts offered by car dealerships. Frequently, these insurance provisions are deceitfully included in a borrower’s loan agreement without their awareness or are mandated as a contractual condition — practices that are both unethical and predatory.
If you suspect that you’ve been sold GAP insurance without your consent, that’s where we step in. We investigate, identify, and process claims on your behalf.
Can GAP insurance be refunded?
Get My Refund offers assistance in retrieving payments made for GAP insurance. To initiate the process for your GAP insurance refund, simply complete our online form, providing additional details about your lenders. We’ll then conduct a thorough check on all vehicle loans, regardless of whether they are currently active or already concluded.
How much will I receive upon canceling GAP insurance?
The refund amount from your GAP insurance cancellation hinges on various factors, including your prior contributions to the policy. However, you can trust Get My Refund to advocate for the maximum refund owed to you. Typically, our customers receive refunds ranging from $500 to $4000.
