Ohio gap insurance: Everything you need to know

How much is gap insurance in Ohio?

In Ohio, gap insurance costs an average of $1,413 per year, but prices vary by company. Your car's value also affects the cost of gap insurance. Expensive or luxury cars depreciate faster than standard vehicles, so gap coverage may have to pay more, leading to higher rates.

Cheapest gap insurance companies in Ohio

Nationwide offers the cheapest gap insurance coverage in Ohio at $908 annually. Not all car insurance companies provide gap coverage, and rates differ widely by company.

See the table below to find the cheapest insurance companies for gap coverage in Ohio.

Company	Auto insurance rates with gap premium	Gap premium
Nationwide	$908	$27
Auto-Owners	$1,425	$48
Travelers	$1,465	$43
Erie Insurance	$1,520	$292
Progressive	$1,749	$19

Read our methodology

Average gap insurance cost in Ohio by city

Cincinnati is the most expensive to buy gap insurance with an average rate of $1,468, and Elyria is the cheapest with an average of $1,112. Where you live in Ohio can affect your insurance rates. Auto insurance rates are higher in cities with more crime and theft since your vehicle is more likely to be damaged or stolen.

This table shows the average gap insurance rates by city for Ohio.

City	Auto insurance rates with gap premium	Gap premium
Elyria	$1,112	$66
Tiffin	$1,145	$82
Upper Sandusky	$1,151	$79
Mason	$1,189	$71
Warren	$1,193	$74
Defiance	$1,194	$81
Marion	$1,257	$90
Columbus	$1,370	$89
Dayton	$1,447	$85
Cleveland	$1,454	$99

Read our methodology

How much is gap insurance in Ohio by age group?

Gap insurance rates are higher for younger drivers because they have less experience and are more likely to take risks while driving, increasing the odds of a total loss. As drivers get older, their rates go down. For example, an 18-year-old pays an average of $5,146 per year, while a 25-year-old pays around $1,775 annually.

The table below lists the average gap insurance rates in Ohio based on age.

Age group	Auto insurance rates with gap premium	Gap premium
Teen	$5,146	$150
Young adult	$1,775	$93
Adult	$1,413	$86
Senior	$1,306	$82

Read our methodology

How does gap insurance work in Ohio?

When you buy or lease a new car, it depreciates quickly resulting in you owing more than it's worth. If your car is totaled, your insurance company will only pay its actual cash value, which might not cover your full loan balance. That's where gap insurance helps. If your car is totaled or stolen, gap insurance covers the difference between your car's value and what you still owe on the loan.

"Gap is designed for people that take long-term loans and/or roll taxes, service plans, or warranties into their loan," said Zack Pope, agency manager at David Pope Insurance in Missouri. "Most gap coverages only go a certain percent over market value to pay off a loan for a totaled vehicle (typically 25%). It costs significantly less money to get gap through your insurance than to purchase it from the dealership."

For example, let's say you have a $40,000 car loan, but your vehicle's actual cash value is only $35,000. If the car is stolen, your insurance company will reimburse you $35,000, minus your deductibleThe deductible is the amount you pay out of pocket for a covered loss when you file a claim.. Gap insurance would cover the remaining $5,000 that you still owe on your loan. Without gap insurance, you'd be responsible for paying this difference out of pocket.

You can drop gap coverage once your loan balance is below your car's value. While you can cancel gap insurance anytime, you may not be able to add it later. Most insurers require you to add gap coverage soon after buying a car.

Where to buy gap insurance in Ohio

Many insurance companies, including major carriers, offer gap insurance in Ohio. It's relatively easy to add coverage to your current auto insurance policy.

Adding gap coverage to your auto insurance policy is usually the most cost-effective option. While you can purchase gap coverage from most car dealers and lenders, those policies tend to be more expensive, making it a less attractive option.

Methodology

We gathered car insurance rates with and without gap insurance through our data partner, Quadrant Information Services.

Averages are annual and based on our full coverage data set. This data set is based on:

Bodily injury liability of $100,000 per person and $300,000 per incident
Property damage liability of $100,000 per incident
Comprehensive and collision deductibles of $500
40-year-old driver
Honda Accord LX
Good credit
A clean driving record
12-mile commute, 10,000 annual mileage

To show the cost of gap insurance, we have compared rates with gap insurance added to the averages without gap insurance, and the difference is shown as the annual cost of gap insurance.

Rates are based on an analysis of over 5 million data points in all 50 states and Washington, D.C. from 138 companies.

Ohio gap insurance: FAQs

Is gap insurance required in Ohio?

Gap insurance isn't required by Ohio law. However, your lender may require the coverage.

Who should buy gap insurance in Ohio?

If you have a car loan or lease in Ohio, you might need gap insurance. If you made a small down payment, you could quickly owe more than your car is worth since vehicles lose value faster than you can pay the loan. In this case, gap insurance can be a smart choice.

You don't need gap insurance if you own your vehicle or make a large down payment so that you owe less than the car's value from the start of your loan.

What is standalone gap insurance in Ohio?

Standalone gap insurance is a policy of its own, not connected with your car insurance. Gap insurance is available from your lender or a private company as a separate policy.

Does gap insurance cover leased cars in Ohio?

Ohio gap insurance covers leased cars where the driver owes more than the vehicle's current market value. Over time, you may remove gap coverage once your vehicle is worth more than what is owed.