GAP insurance with car lease?

no1wf

jimjames wrote: »

I can't see the point myself.

You buy a car with gap insurance for 3 years to cover the (hopefully) remote possibility that you have an accident AND your car is written off AND the payout is less than you owe. An expensive car is even less likely to be written off as well.

Yet at 3 years and 1 day you want to buy a new car you have to find the money to cover depreciation yourself. Why not just use the Gap premium towards that rather than taking out a policy? Not sure if a lease is any different but if you don't own the car isn't it something that is no longer your problem?

Maybe someone can explain it but it doesn't make sense to me. There seems to be a proliferation of insurance policies to cover every eventuality. Personally I prefer to self insure where appropriate which has done me well up to now.

I have the lease for 2 years, at the end of that I have to give the car back in mint condition. If I'm in an accident how do I know how much money my insurance company will give me? What if it's not enough and the car people are expecting thousands of pounds back that I don't have?

jimjames

no1wf wrote: »

I have the lease for 2 years, at the end of that I have to give the car back in mint condition. If I'm in an accident how do I know how much money my insurance company will give me? What if it's not enough and the car people are expecting thousands of pounds back that I don't have?

I'd ask the insurance company/lease company that question. I'd expect any claim to be settled by the insurers directly to the lease company. They both know the value of the car.