GAP Insurance - Reputable Providers

NiallJC1984

Good morning folks,

Currently in process of purchasing a car via PCP and have been quoted almost £700 by dealership for GAP insurance provision.  I've done a quick couple of searches and found alternative providers who are quoting the more reasonably figure of somewhere between £190-£230.  Before I jump, can anyone advise a couple of reputable providers?

Thanks in advance for any help, I've normally just gone with the dealership quotes in the past but can't bring myself to fork out that much for it!!

Goudy

Have a look at
Gap insurance: do you need it? - Money Saving Expert

DullGreyGuy

Goudy said:

Have a look at
Gap insurance: do you need it? - Money Saving Expert

Funny that they state they have little feedback on the companies being recommended but they are all giving commission for being listed

boxosox

The PCP will already be costing you an absolute fortune, so what's another £700?

BJV

DullGreyGuy said:

Goudy said:

Have a look at
Gap insurance: do you need it? - Money Saving Expert

Funny that they state they have little feedback on the companies being recommended but they are all giving commission for being listed

I 100% Agree.

I have just (December) changed my car and finally gone electric. W woo.

I tried the moneysavingexpert links then Moneysupermarket. I wanted 5 years as I need to make this one last, and not many offer it. I shopped around loads of places,  direct gap, car2cover and tidy alloys but in the end, I got one from total loss, but there are loads of others. Just shop around there are loads of deals out there.  

Jenni_D

No personal experience, but I've seen ALA Gap Insurance recommended by others here in the past.

Stateofart

GAP insurance - just a flippin' con in my view.

Noggin500

Motor dealer policies are always expensive - the dealers usually take a chunky commission before handing over the details to independent administrators and policy providers.

Two of the three providers that MSE recommends have some sort of commission tie-up with MSE. The third - gapinsurance.co.uk - doesn't, so it's worth contacting them, I'd have thought. It's worth checking the underwriting too - most UK providers use unrated insurers (ratings by major credit ratings agencies). Gapinsurance.co.uk use A-rated Lloyd's.

MSE_James

Hi all - in the light of a couple of comments in this thread, just wanted to draw attention to this page which explains how MSE works, so there's no misunderstanding:  https://www.moneysavingexpert.com/site/moneysavingexpert-finance/#revenue

DullGreyGuy

Noggin500 said:

Motor dealer policies are always expensive - the dealers usually take a chunky commission before handing over the details to independent administrators and policy providers.

Two of the three providers that MSE recommends have some sort of commission tie-up with MSE. The third - gapinsurance.co.uk - doesn't, so it's worth contacting them, I'd have thought. It's worth checking the underwriting too - most UK providers use unrated insurers (ratings by major credit ratings agencies). Gapinsurance.co.uk use A-rated Lloyd's.

Used to work for a finance company who resold GAP insurance to the car dealers that used our finance as they preferred to have one company to deal with. We'd buy the GAP at £100, sell it to the car dealer for £200 who sold it to the customer for £400. Our name was on the paperwork but the dealer would go into the insurers website to put the sale through so we got 100% markup for nothing, at least the dealership were doing the sale. 


Lloyds of London is a very odd place and one of its quirks is that the credit agencies only rate Lloyds itself and not the individual syndicates that actually underwrite the policies nor the names that are actually the ones providing the funds to pay claims. Yet read anything about Lloyds and they strongly argue that they are a market place and not an insurer. 

Goudy

As with any insurance, you don't know how good it is until you (try to) claim.

I am sure there are plenty of reviews based on ease of purchase etc, but the reviews you really need are from those who have made successful claims.

If you look at the reviews carefully you tend to find, "I just bought a policy from X, all went smoothly and they are great".

What you are after is, " X paid out fully and promptly on my claim, they are great"

It light of this, it's probably best to scrutinise all the terms and conditions carefully rather than rely on reviews too much.