Esurance has been around for several decades and offers a variety of other insurance policies. Gap insurance is part of its comprehensive coverage in the company's auto policies.
Esurance was established back in 1999, making it one of the younger auto insurance providers available in the United States. It is a subsidiary of Allstate and offers information on other companies on its website, along with its own rates. As one of the earliest companies to offer auto and gap insurance information online; it also was one of the first to give consumers information about those other companies to help make a fully informed choice, even if the best quote is not with Esurance.
In addition to establishing online quotes, Esurance also became the first auto insurance company to recognize same-sex partnerships and to give discounts for this demographic as well. This company offers a variety of other insurance coverages, including insurance policies for motorcycles, ATVs, boats, PWCs, RVs, homeowners, renters, floods, health, life, pets, cell phones and businesses.
The actual gap insurance over your vehicle is the difference between what is owed and the cash value of the vehicle. Esurance uses a specific formula to calculate how much is actually paid out. The policy uses the difference between the amounts paid to the financial institution and balances that are against the amount that is still owed on the vehicle. Then, Esurance pays that difference, but only up to 25 percent of the total worth of your car.
This coverage is not used during a regular accident. In order to use your gap policy, your vehicle must be totaled and declared a total loss. If it is stolen, the insurance company must declare it a loss in order to pay out the money you qualify for. Without this insurance, you may only receive the actual cash value, instead of the money you paid out of your pocket. With it, you lose much less of your investment and can use that money toward a new vehicle that is the same or different from the one you picked. You must get a quote from the provider to get specific details about your plan.
Esurance is an innovator in the way it offers information about its coverage and the coverage of other providers. Also, it offers a variety of other plans that you can bundle with your gap insurance.