GUARANTEED ASSET PROTECTION (GAP)
We’ve got you covered
Get added protection for your vehicle for only $599.
Log in today to see if you’re eligible to add GAP coverage.
Some exceptions apply, please review the full policy below.
What is GAP?
Ever worry your auto loan could be bigger than your damaged vehicle’s worth? GAP has you covered.
How GAP works
- Traditional auto insurance pays a car's market value, which may be less than your loan balance.
- GAP coverage closes this financial gap, so you aren't left with an outstanding loan after a total loss.1
- To learn more, or add GAP to your PenFed auto loan, log in to your account to check your eligibility.
Example coverage
- Vehicle’s Actual Cash Value (ACV): $20,000
- Loan amount: $25,000
- Deductible: $500
- Insurance payout: $19,500 (ACV less deductible)
- Loan balance after insurance payout: $5,500
GAP coverage would waive the remaining $5,500 so you wouldn't be left with a car loan you can't afford.
Benefits
- Smart security: Protect your finances from a total loss by covering the loan balance.
- $1,000 Bonus: Receive a credit of $1,000 toward your next vehicle purchase when you finance it through PenFed.
- Cost-effective: Our GAP is competitively priced to save you money compared to dealership options.
- Seamless integration: Add GAP directly to your existing PenFed loan with ease.
What is ADR?
Auto Deductible Reimbursement (ADR)
Accidents happen, but your finances don't have to take the hit.
- Get back on track after an accident: ADR reimburses your deductible up to $500 for any covered loss on your car insurance policy.
- Stay in control: Use your ADR benefit for any covered repair or replacement, from fender benders to major collisions.
- Simple and seamless: Just purchase a GAP policy with PenFed, and ADR comes included. No extra fees or paperwork needed. Coverage effective upon enrollment and continues for 2 years.
Why add GAP with ADR?
Disclosures
1
GAP is optional and is subject to limitations and exclusions, such as a Loan-to-Value (LTV) maximum of 125% which may limit the benefit you receive.
These products are optional. Insurance products are not a deposit or obligation of, or guaranteed by, PenFed or its affiliates. These products are not insured or guaranteed by NCUA or any agency of the federal government. Your credit approval cannot be conditioned on whether you purchase any of the insurance products. You may obtain insurance to protect your loan from an entity not affiliated with PenFed.
Read the full disclosures for GAP (PDF)
Read the full disclosures for ADR (PDF)