Does someone only need gap insurance to cover all of the add ons? Other than adding new pipes I haven't done anything else to the bike so my understanding that the full coverage I have should be sufficient. Please correct me if I am wrong.

Thanks in advance

 

Gap insurance is used to pay the difference between the payoff and the bikes value if your bike is a total loss-in other words if you owe more than the bike is worth. To my knowledge gap has nothing to do with your add ons. You'll want to look into your custom parts or accessory coverage with your insurance policy for any of your add on parts. Some companies handle those differently. You may want to ask your agent.

 

Gap is to cover the loss value of the bike in case of accident and bike is totaled. So you still are not making payments on a totaled bike . Try to get GAP coverage through your finance agent or your bank which would be cheaper then the dealer for sure. Also your bank or credit union will offer extended warranty coverage as well cheaper then the dealer too.

trevdawg dam you are quick . you beat me to it lol

 

Thanks for the responses. I was totally wrong and glad I asked. Will look into it tomorrow afternoon.

 

GAP insurance is to cover the difference in the value of your bike and what you owe on it. Insurance companies usually give you replacement value.

so I would think there are 2 things that merit buying it.
1. you took a bath on your trade and had to finance quite a bit more the MSRP to buy you bike

2 You added a bunch of goodies to your bike before delivery and that brought the balance of your loan well above MSRP.

GAP insurance pays the difference in what the Cycle insurance company pays out in a total loss, and what is owed on the bike. - That way you will not star out in the hole with a total loss.

 

Gap insurance is only good if you owe more than the bike is worth at the event of a total loss.

Say you pay 20,000 for a new road king. You put 8,000 down. You take a loan of 12,000. The loan value is already less than the total loss value and gap insurance is a waste of money (shouldn't sell it to you but some will).

Don't get gap insurance confused with total loss coverage offered by some companies. For example progressive insurance offers total loss coverage for a brand new bike that you purchase and put on your policy or start a new policy at time of purchase, that will pay out the MSRP of a current model year bike plus your accessory coverage in the event of a total loss to you. This coverage is available until the bike is 3 model years old at time of renewal. With this type of coverage you do not need gap insurance as you will get a new bike for 2 or 3 years after the purchase of the new bike in the event of a total loss.