Gap Insurance in Oklahoma (2025)

The average cost of a new car is around $47,401 in 2024, according to Kelley Blue Book data.1 When you buy a new car, its value depreciates quickly, starting when you drive away with it. If your car’s value is less than what you owe on an auto loan, then you may need gap insurance to protect your finances.

Gap insurance covers the difference between your auto loan or lease balance and the car’s actual cash value in the event of a total loss. A full-coverage policy in Oklahoma costs an average of $173 per month. Adding gap insurance typically costs another $2 per month.

Here’s what you need to know about comparing auto insurance rates and getting gap insurance in Oklahoma.

How gap insurance works

Gap insurance covers the difference between your auto loan or lease balance and your insurance payout if your insurance company totals your car. It usually only activates when a covered collision or comprehensive claim results in a total loss — when the car’s fair market value exceeds repair costs.

Gap insurance is worth considering if you’re buying a new car, as most vehicles lose approximately 20% of their value in the first year of ownership.

What gap insurance covers in Oklahoma

Gap insurance in Oklahoma covers the amount that you may still owe on your car after a total loss. It only provides coverage for accepted collision and comprehensive claims that your insurance company processes. And it may only cover a percentage of your car’s value, so it’s important to read your policy carefully to understand what gap insurance covers.

It’s important to understand when gap insurance doesn’t kick in. Gap insurance doesn’t cover:

• Deductible costs

• Wear and tear

• Mechanical breakdowns

• Rejected collision and comprehensive claims

Best gap insurance companies in Oklahoma

If you’re looking for gap insurance in Oklahoma, start your search with the companies below.

Midvale Home & Auto

Progressive

Travelers

Gap insurance vs. full coverage

Full coverage generally combines state-minimum liability insurance, comprehensive coverage, and collision coverage. It usually doesn’t include gap insurance, but you may include it in your policy as a separate addition.

Full-coverage insurance usually provides coverage for repairs if an incident damages your vehicle, regardless of fault. Gap insurance will come in handy if you owe more than your car is worth.

Who needs gap insurance in Oklahoma?

Oklahoma doesn’t require gap insurance, but it’s still worth considering if you finance or lease your car.3

“Auto dealerships in many states mandate that you carry gap insurance in order to protect their interests in the asset you’re driving,” says Howard Goldberg, vice president of Plymouth Rock Assurance’s customer solutions center. “If you drive a late-model car, especially expensive vehicles, for which you have a loan, you should also consider carrying it.”

If you own your car outright or purchased a gap waiver from your auto lender, you don’t need gap coverage in your car insurance policy. But otherwise, you might consider gap insurance if you:

• Financed your car with less than 20% down

• Have an auto loan with terms longer than 60 months

• Leased the vehicle

• Own a car that depreciates faster than average

Even if you purchase gap insurance, you can usually remove it from your policy later. Once your car’s value is greater than your auto loan balance or you pay off the car completely, you can contact your insurer to remove it.

How to buy gap insurance in Oklahoma

You can buy gap insurance from the dealership or an insurance company. It’s more expensive to purchase it from a dealership because your loan, which accrues interest, includes the cost of gap coverage.

You can buy gap insurance when you purchase your car and initially insure it with your insurance company. Your insurance company may only allow you to buy gap insurance when you purchase the car, so it’s important to include the coverage on your policy as soon as possible.