It doesn't work that way. You can only use the GAP if your car get's totaled. They will pay off the remainder of the loan. Be prepared for a wait of about 2-3 months before GAP pays up. If your car is totaled and you buy it back. GAP won't pay. The only way to get a new title is to have it inspected after it is fixed. You will then get a Salvage title if it passes the inspection. Not good for resale in the future and you won't pass with the A2A setup in California. So you have a couple of options.
1.) Let them total the car and they keep it. GAP insurance will pay off the amount left on the loan. (2-3 month process) You don't get to buy the car back.
2.) Let them total your car and you buy it back at a set dollar amount. GAP will not pay off the loan. You have it repaired and inspected, then apply for a Salvage title.
3.)Let them total your car and you buy it back at a set dollar amount. GAP will not pay off the loan. You part out the car and hope for the best.
You don't get to double dip so to speak. This is my understanding of it.
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