What happens if my car is totaled in an accident and my insurance company doesn’t pay the remaining balance?
You will be responsible for the difference between what the insurance pays and what you still owe. This is called the deficiency balance. If you purchased GAP insurance, you need to file a claim with your insurance carrier. If you did not purchase GAP insurance, you need to pay the remaining balance in full or continue to make your contractual payments until the remaining balance is paid.
