Gap Insurance on a New Lease - MBWorld.org Forums

Nov 8, 2010 | 05:42 PM

350driver

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From: OC, CA

2010 E63

Gap Insurance on a New Lease

Do I have to purchase Gap insurance when I am leasing a new car? Is it a requirement? I am in So. Cal, and the dealer is telling me that it is part of the drive off costs.

Thanks

Nov 8, 2010 | 06:13 PM

SonnyakaPig

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I don't think you need to purchase GAP insurance when you lease. Only when you buy and you owe substantially more than you put down.

I also wouldn't opt for lojack if you have insurance. Just my opinion.

Nov 8, 2010 | 06:28 PM

350driver

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Joined: Aug 2008

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From: OC, CA

2010 E63

Quote:

Originally Posted by SonnyakaPig

Thanks for the Reply. I didn't think so, but the dealer is telling me that it is 100% part of the drive offs, and a requirement for the lease.

Around $1000 1st months Payment
Around $1000 for DMV Fee's
Around $850 for the Gap Insurance

I didn't know if this was normal when getting a new Lease from MBUSA or something that is a requirement in California.

Thanks

Nov 8, 2010 | 06:33 PM

SonnyakaPig

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Quote:

Originally Posted by 350driver

I didn't know if this was normal when getting a new Lease from MBUSA or something that is a requirement in California.

Thanks

You're welcome.

You know what, that's interesting. Because, when I was looking to lease a C63 from fleetrates.com, which is based outside of CA, they were telling me that GAP insurance wasn't necessary with leases.

But, I don't know what are MBUSA's requirements. I wish I could help.

Edit: I just did some checking and it looks like you can get GAP insurance with a lease. So that option is available. Certain non-dealership financing options like State Farm offer GAP with the finance agreement. So, sometimes you can avoid paying for it at the dealership and still maintain it.

Last edited by SonnyakaPig; Nov 8, 2010 at 06:46 PM.

Nov 8, 2010 | 07:45 PM

Vic55

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From: THE Orange County, California

2024 C8 Z06- 2025 BMW CS- 2022 Porsche 992 GTS

Almost all lease banks include GAP insurance--- there are a few that dont but MBCC includes it along with US Bank, Chase, and every captive leasing agent (Ford, Toyota, Nissan etc).

Only once did I have to buy GAP and it was with Bank of the West way back when I got a 2002 E39 M5.