GAP Insurance

dan2002

hi all, buying a used hyundai getz and the sales man offered a thing called Gap insurance,not much info but he said if the car was a right off in say 6 months ,my insurance would only pay book price ,but with this gap insurance this company would make it up to the price I have paided.I have never heard of this so I have the weekend to think about this,he's looking £200 to cover 3 years ,anyone used this before
thanks

Mikeyorks

Check your own Insurance first ... to see what they cover. But if you do decide you want GAP iinsurance - do not buy it from the dealer. You will get it for possibly 50% of the price if you DIY. This company specialises - and you will get an extra £22.50 off if you go via Quidco.

But you will need to check if your NI base presents a problem with them? :-

http://www.click4gap.co.uk/index.asp

...... they will give you a quote for the 3 years you mention. All you need to input is the purchase price you will be paying.

Belnahua

I got a big thanks from a work colleague. They bought a newish car, and I mentioned GAP insurance to them, as they'd never heard of it before, so they took it out after some research. 3 month later they wrote the car off, and the GAP insurance paid the £3k difference between the insurance's book value and the HP remaining - so most definitely worth while!

dan2002

thanks for the info just priced it and there is a big differance in price thanks

GhostHunter_3

Hi

We had GAP insurance on our previous van that got written off on 1st January this year. The accident was no fault of our own.

GAP insurance wouldnt help us out in our situation as HP on van was cleared by the insurance and we were left with just over £1,000 to 'play with'. GAP insurance only 'kicks in' if you have LESS money after payout to what you owe on veichle price outstanding ballance. So in our case we were towards the end of our HP anyway therefore it wasnt as effecxtive as if it had been a new HP.

However at an extra £10 a month (we were offered it at that price for a limited period as a 'good customer' after a few monthly installments on the HP, 10 installments of £10 covered us for a whole 2 years then renewed if required - if your purchasing on HP you should get a call from someone anyway, if you can be patient for a few months but dont get a call shop around and you will find a good GAP insurance otherwise feel free to PM / email me and I will provide the details of group I went with* ) so it is in my opiniuon a very wise and good investment!

* I have no knowledge of motor trade and am not a salesman just like to reccomentd good service based on experience. Hubby had van on HP he needs his van for self employment.

Hope this helps - good luck and drive safely!

Mikeyorks

GhostHunter wrote: »

GAP insurance only 'kicks in' if you have LESS money after payout to what you owe on veichle price outstanding ballance.

That's specific to the policy you added from your finance company. The freestanding policies offered from the link above pays you the difference between the market value (offered by your Insurance) back to the original invoice price. Or the difference between (Insurance) market value and the price of a brand new vehicle .... depending which option you choose. Obviously the latter one being more expensive.

Retired_I.F.A.

Silly when you think about it, New for old contents cover has been around for donkey years and few still offer indemnity cover yet when it comes to motor insurance no one offers new for old.

raskazz

Retired_I.F.A. wrote: »

Silly when you think about it, New for old contents cover has been around for donkey years and few still offer indemnity cover yet when it comes to motor insurance no one offers new for old.

Almost all private car policies offer a form of 'new for old' - the 'new car benefit' on comprehensive cover where if your car is a total loss they will replace it with a new car subject to certain conditions (that you were the registered owner from new, the car was less than a year old, is available in the UK, and in some cases if the mileage at the time of the loss is below a certain level).

To offer it routinely would be totally impractical, not to mention be a massive invitation to fraudsters.

Retired_I.F.A.

To offer it routinely would be totally impractical, not to mention be a massive invitation to fraudsters.

In your opinion. If that were fact then new for old on contents would not exist.

raskazz

Retired_I.F.A. wrote: »

To offer it routinely would be totally impractical, not to mention be a massive invitation to fraudsters.

In your opinion. If that were fact then new for old on contents would not exist.

Yes, in my opinion. But the market for motor vehicles is substantially different to the market in household goods (as is the market for car insurance compared with the market for household insurance) so you are wrong when you say 'If that were fact then new for old on contents would not exist'.

Carbuyer100

Retired_I.F.A. wrote: »

Silly when you think about it, New for old contents cover has been around for donkey years and few still offer indemnity cover yet when it comes to motor insurance no one offers new for old.

Thats what i thought, no new for old. Until that is I went to buy a policy. i spoke to www.ala.co.uk and they told me about VRI. (Vehicle Replacement Insurance). This is best suited to new cars but will replace the car with and new one even taking into account price increases AND the special offer you received 1st time no longer being available. It literally puts you in a new car the same as the one you lost.