GAP Insurance on a new car on PCP, advice pls

chokolat2

Hi everyone.
Picked up my new car this week and now looking to take out GAP insurance. I know there are 3 different types.

The car is on a PCP contract, and I only paid £200 deposit. I was also given 1 years free insurance from the dealer.

Now I am a bit confused as to what GAP insurance I should take out?
1. The Gap - covers the "gap" between market value and the outstanding finance - Sounds ideal to me, since I didn't put down a large deposit (? Am I correct in thinking ?)
2. Return to Invoice - Again a bit confused, as I got the impression this applies if you only paid a large deposit?
3. Vehicle Replacement

I also been doing some reading where I seen a number of websites state that as it is a brand new car, should it be written off in the first 12 months (touch wood!) - the insurance will replace the vehicle?? But I suppose since mine is a free insurance from the dealer, I would need to check the policy?

Thanks in advance

anotherbaldrick

So, what's your question ?

flashg67

Yes, check if you'll get a new car in the first year - this would be key to me. You can buy deferred GAP to start after 12 months. If you just want to be 'in the clear' if the worst happens, 'standard' GAP should do. Just make sure you don't over or under insure the gap in values - don't forget, the gap decreases as the car devalues and you start to pay off the loan.