Oklahoma gap insurance: Everything you need to know

How much does gap insurance cost in Oklahoma?

Gap insurance in Oklahoma costs $3,022 per year, on average, but rates vary by company. The value of your vehicle also affects the cost of gap coverage. Expensive or luxury cars usually depreciate faster than standard vehicles, so gap insurance may have to cover more, which increases the cost.

Cheapest gap insurance companies in Oklahoma

The cheapest company for gap insurance in Oklahoma is Shelter Insurance, with an average annual cost of $2,469. Not all car insurance companies offer gap coverage, and rates vary significantly by company.

Check out the table below to find the cheapest Oklahoma insurance companies for gap coverage.

Company	Auto insurance rates with gap premium	Gap premium
Shelter Insurance	$2,469	$115
Mercury Insurance	$2,633	$59
Progressive	$3,150	$78
Farmers	$3,836	$163

Read our methodology

Average gap insurance cost in Oklahoma by city

Gap insurance costs the most in Spencer, with an average rate of $3,133, while Duncan has the lowest rate at $2,534. Where you live in Oklahoma can impact your insurance costs. Cities with higher crime and theft rates have higher auto insurance rates since the risk of damage or theft is higher.

Here are the average gap insurance rates by city in Oklahoma

City	Auto insurance rates with gap premium	Gap premium
Duncan	$2,534	$98
Seminole	$2,637	$97
Bixby	$2,663	$90
Pond Creek	$2,717	$101
Woodward	$2,740	$110
Cleveland	$2,761	$93
Corn	$2,828	$104
El Reno	$2,907	$104
Edmond	$2,941	$95
Tulsa	$2,970	$102

Read our methodology

How much is gap insurance in Oklahoma by age group?

Gap insurance coverage for an 18-year-old driver costs $13,063 a year and costs $3,818 annually for a 25-year-old driver. Car insurance costs more for younger drivers because they are more likely to take risks and have less experience avoiding accidents. However, rates decrease as drivers get older.

Here are the gap insurance rates in Oklahoma for different age groups.

Age group	Auto insurance rates with gap premium	Gap premium
Teen	$13,063	$360
Young adult	$3,818	$133
Adult	$3,022	$104
Senior	$2,535	$82

Read our methodology

How does gap insurance work in Oklahoma?

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.

Once your loan is less than the value of your car, you can drop gap coverage. While you can always cancel gap insurance, you may be unable to add it anytime. Most insurers want you to add the coverage quickly after buying a car.

Additionally, many lenders require gap insurance when getting your loan. Although you can get gap coverage through your lender or car dealership, adding it to your current auto policy is usually cheaper.

Where to buy gap insurance in Oklahoma

Many insurance companies, including major providers, offer gap insurance in Oklahoma. You can add this coverage to your existing car insurance policy or buy a standalone policy.

The best way to get gap coverage is to add it to your auto insurance policy. Car dealers and lenders also offer gap insurance, but their policies are mostly expensive, making them less budget-friendly.

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.

Oklahoma gap insurance: FAQs

Is gap insurance required in Oklahoma?

Oklahoma law doesn't require gap insurance, but your lender may require it.

Who should buy gap insurance in Oklahoma?

You may need gap insurance in Oklahoma if you lease or finance a car with a small down payment. Since cars lose value faster than loans are paid off, gap insurance can protect you from owing more than your car is worth.

You don't need gap insurance if you own your car or made a large down payment to ensure that you owe less than the car's value at the start of your loan.

What is standalone gap insurance in Oklahoma?

Standalone gap insurance is a separate policy, not a part of your car insurance. You can buy gap insurance from your lender or a private company as an independent policy.

Does gap insurance cover leased cars in Oklahoma?

Oklahoma gap insurance covers leased cars when the driver owes more than the car's current market value. You can remove gap coverage once your vehicle is worth more than what you still owe.