GAP Questions and Answers PDF
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Uploaded by ConsiderateAmericium
Schoolcraft College
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Summary
This document contains a series of questions and answers about Guaranteed Asset Protection (GAP) insurance. Topics covered include maximum coverage amounts, eligibility criteria for various vehicles, and what happens in case of a total loss. The answers are included, making this a quick reference guide for GAP related information.
Full Transcript
What is the maximum amount covered by GAP as the primary insurance deductible for a vehicle? A. \$1,000 B. \$1,500 C. \$2,000 D. \$500 ANSWER: A What is the maximum number of occurrences of GAP deductible assistance allowed in a 12 month period? A. 4 B. 2 C. 3 D. 1 ANSWER: B At what poin...
What is the maximum amount covered by GAP as the primary insurance deductible for a vehicle? A. \$1,000 B. \$1,500 C. \$2,000 D. \$500 ANSWER: A What is the maximum number of occurrences of GAP deductible assistance allowed in a 12 month period? A. 4 B. 2 C. 3 D. 1 ANSWER: B At what point can member purchase GAP assistance? A. Only during the first 24 payments C. Anytime during the life of the loan D. Within 60 days of loan closing B. Only at loan closing ANSWER: C What is required for a vehicle to be considered protected under this program? A. It must be a new or used vehicle 15 model years or newer. B. It must be a personal use vehicle only. C. It must be a new or used vehicle 20 model years or newer. D. It must only include new vehicles. ANSWER: C What GAP Loans are allowed for watercraft protection? A. Commercial only B. Personal only C. Personal and Commercial D. None of the above ANSWER: B What is the maximum benefit provided by the Guaranteed Asset Protection (GAP) for all vehicle types? A. \$50,000 B. \$75,000 C. \$100,000 D. \$25,000 ANSWER: A Which of the following vehicles is excluded from the GAP protection eligibility criteria? A. Power sports B. Watercraft C. Motor vehicles D. Electronic/Pedal Bicycles ANSWER: D What is the maximum loan-to-value ratio applicable under the GAP program? A. 110% B. 90% C. 100% D. 120% ANSWER: A What happens if a vehicle is declared a total loss while being protected by GAP? A. Members receive a cash payout only. B. Members can extend their loan terms. C. The difference between insurance settlement and loan balance is waived. D. Members must pay the full loan balance. ANSWER: C What is the maximum term for loans under the GAP program? A. 48 Months B. 60 Months C. 84 Months D. 120 Months ANSWER: C Which of these statements regarding GAP is incorrect? A. Every type of vehicle qualifies for GAP coverage. B. The maximum loan amount varies by vehicle type. C. GAP can help close financial gaps after insurance settlements. D. GAP only covers total losses. ANSWER: A
