There are several steps to take once your mortgage has been paid off.

Q: My grandson had Guaranteed Asset Protection insurance coverage on his car when he was involved in an auto accident recently. Because he was at fault, his car insurance would not cover the damage to his car. He was notified yesterday that his GAP insurance would not cover the outstanding car loan because the damages to his car total $16,500, and at the time of the accident, his car was estimated to be worth $18,600. They say that because the damage is not equal to or more than the car's value, he is not covered. Can this be true?

A: Yes, this can be true.

GAP insurance typically only applies when a vehicle is totaled or stolen, and it is worth less than the amount of the car loan. In your grandson's case, the damages ($16,500)........

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