Most F&I managers cannot explain the difference between GAP and a debt cancellation agreement.

Most F&I managers can't explain the difference between gap insurance and a gap waiver, and it's costing them deals. What is the difference between insurance and a waiver? In most states in the country, you're not an insurance agent. You don't have to go pass an insurance exam. You offer a waiver. What is a waiver? It is a way to cancel debt on their loan, and it's the only thing that uniquely sits on the law contract. It has its own box, whether you opt in for that responsibility or you opt out. So when that contract gets sent to the lender and you suffer a total loss, they know they can waive that debt completely. Insurance doesn't do that. Because they don't ask the 3 most important questions, which is what? What the interest rate was, what the term, and what was their amount financed. Without that, you can never waive a customer's debt completely. And that is the difference between insurance and a waiver. Comment if customers say they already have GAP through their insurance and I'll tell you exactly what to say.