Gap Insurance

Sorry probably wasn't very clear. Just wondered if there was any insurance companies that included total loss with your standard policy or are they only always bought separately? I'm surprised if not as would have thought there might be a need for a more comprehensive/protected type of policy for more expensive cars, I'd only learnt about gap from this forum so perhaps not widely known.

Charlie, normal comprehensive insurance will only pay out what they think your car was worth the millisecond before the damage occurred - so they take into account scrap value, miles on it, the general condition etc etc it is not the second hand value of the car and is often a lot less - sometimes they only offer the value of the scrap metal unless you dispute it, but even then you won't get a lot more.
GAP is a way to insure that gap between what the insurer pays out and the original value of the car (if it is back to receipt) or the cost to replace with new (as in back to replacement). This can be particularly useful if you buy your car using finance as you could end up having insufficient value in the wreck to pay off the finance................ which means you could end up making payments on nothing if the insurers value doesn't match the outstanding finance! With GAP you will at least get the value back to the original receipt up to the amount agreed in the contract or you will get the amount to get you into a new car.
Well that is my understanding of how it works - feel free to discuss!

GAP is becoming more and more common place knowledge as dealers/traders push it quite hard nowadays. See the video here on our website:



Some insurance companies when you buy a brand new car, they provide 'like for like replacement for the first 12 months, which is why we allow on Return to Invoice policies for the start date for the policy to be up to a year past the point of actual purchase, to allow full benefit if your own insurance provider will do like for like in the first year. However you have to check, as most don't provide this like for like new car cover in the first 12 months anymore as the insurance market has tightened up over the past 12-24 months.

Yep, totally understand the whole concept. I'm just surprised bog standard insurers when you ring up/get a quote online don't have a more comprehensive option, that's all. Maybe I should start a new business!

I think you will find in all insurance that there is always a "gap" in the cover - for example in marine insurance only 3/4 of the costs are covered under the hull policy the remaining 1/4 is covered by another insurance called P&I (protection and indemnity) which covers things like the crewing costs, oil pollution, strikes, cargo damage, loss of hire etc

Has anyone got the insurance for less than £399 from there dealers, and is so what was the cost ?

Pete

Mine was going to include it at around £550. I asked him to take it off!

Kam100 does your policy cover stolen keys .... had a look through your T&C's but couldn't see it mentioned.

not been offered it....

With regards to Stolen keys our policy would cover that as long as your insurance company had paid out the claim.

Please let me know if I can be of further assistance.

Thanks

Simon