If you purchase a new car and don't put any money down, a good rule of thumb is to assume your new vehicle will lose, on average, 19% the first year you own it, half of which occurs immediately after taking possession.  Or if you trade-in your car and it is worth less than your loan, this creates negative equity.  Both of these situations leave a “gap” between what you owe on your loan and the value of your vehicle. 

If your car is declared a total loss due to accident or theft, GAP Plus Coverage is designed to waive the difference for eligible borrowers who choose to purchase during loan closing,


  • You may also receive $1,0002 towards your next auto loan, if you have an eligible GAP Plus Claim.
  • Auto Deductible Reimbursement up to $500

GAP Coverage in Action

In May 2022, our member bought a brand new Lexus 350 and financed it with Healthcare Systems FCU. Unfortunately, her car was recently declared a total loss. Due to depreciation, her insurance company made a payment that was $7,800 less than current loan balance.

Fortunately, she purchased GAP Plus, so the $7,800 GAP was covered, and she received $1,000 towards her next auto loan with Healthcare Systems FCU!


Call us at 703-776-2700 to see if GAP Plus is a good fit for you.

1Subject to certain exclusions and benefit limitations.  2The replacement vehicle must be financed within 60 days of the date your primary insurance company pays the claim on a total loss.