For Retail Installment and Ford Options accounts, GAP (an optional product) generally covers the difference between the vehicle's actual cash value and the contract payoff in the event of theft or destruction of the vehicle. GAP may be obtained from your local dealer at the time of vehicle purchase. With GAP, the buyer is usually responsible for:

  • Any primary insurance deductible that is greater than $1,000. GAP may pay up to $1,000 of the customer's insurance deductible. The deductible amount protected by the GAP program is indicated in the provider's GAP Addendum/Insurance policy.
  • Late fees, payments due as of the date of loss (unless covered by GAP), and extended payments (as applicable)
  • Prior physical damage that has not been repaired

For Red Carpet Lease accounts, GAP is included in your lease agreement. GAP waives the lessee's responsibility for any deficiency between the remaining depreciation plus the Lease End Value and the insurance settlement when the lessee maintains proper insurance. The lessee is responsible for:

  • The insurance deductible
  • Any past due charges as of the date of loss (monthly payment, fees, etc.)
  • Prior physical damage that has not been repaired

GAP waiver will not apply if the lessee does not maintain proper insurance or when the primary insurance pays the account in full.

For more information about GAP Coverage, which is designed to prepare for unexpected losses, please contact your local dealership.

GAP is not available for CommerciaLease.

Always read all documentation and have your dealer explain the product costs and terms and conditions. Please see your dealer for other restrictions on GAP for commercial use vehicles.

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