If you are in the market to buy a new car and you are like most people and will be getting a loan, one thing to consider getting is Gap Coverage or Gap Insurance.  When you purchase a new car and you drive it off the lot the value of the car significantly depreciates.  If you were to get into an accident driving it off the lot and it was classified as total loss then you could potentially be out thousands of dollars.  Since the value of your car is less than the amount you financed, you would be expected to cover the difference of what the insurance company gives and the amount of the loan, but that’s where Gap Insurance comes into play.  Gap insurance will cover the difference in the value of the car and the amount you still owe.  When you purchase a new car many times the finance person will offer you gap coverage as part of the finance package.  To answer one of the many car buying questions, should you buy gap coverage from the dealer, the answer is no.  Dealers inflate the price of gap insurance sometimes up to 300% when you can get the same coverage through your insurance company for a significantly less premium.  So when you sit down with the finance person on the purchase of your new car simply decline gap coverage through the dealer and tell them you can get if for less through your insurance company.