GAP Insurance

**ginvi** · 25-02-2018,02:59 AM

Any advice on gap insurance is it worth getting one. Got a car from a dealer and they are trying to push one on me. I asked to find out more before I commit or not. Wonder whether it is like the days of extended warranty on washing machines.

**spellsinger** · 25-02-2018,07:23 PM

Like all insurance policies it's all down to risk. Something only you can answer, you were quite correct about going away and thinking about it.

What I would say is that the dealer is very likely to be more expensive than alternatives. No doubt they will also say their product is better.
I have had all versions (only once from a dealer though). Seeing as I've never had to claim on gap I can't comment on the quality or ease of use. For the record the last two cars haven't had any extraneous insurance (paint damage, wheels etc.).

If you do go with the dealer it might be worth getting a sweetener like some other discount - Just like a Currys/Dixons/PC World extended warranty!

Maybe someone who has claimed can chip in as to whether it is better/easier through the dealer's own policy?

**skibuddy** · 26-02-2018,09:20 AM

What they wont tell you is that most car insurers offer like for like replacement for new cars written off under 12 monhs old. So a 3 yr gap insurance policy is only really worth two years. Worth checking with your current insurer on the details of your policy. For sure, there are cheaper options than the dealer option.

**ginvi** · 27-02-2018,02:42 AM

Thanks for advice, I've seen cheaper offers through MSE

**krysus** · 27-02-2018,11:08 PM

Originally Posted by skibuddy

What they wont tell you is that most car insurers offer like for like replacement for new cars written off under 12 monhs old. So a 3 yr gap insurance policy is only really worth two years. Worth checking with your current insurer on the details of your policy. For sure, there are cheaper options than the dealer option.

Be careful with the "replacement under 12 months old"... usually you also have to be the first owner too. And some GAP policies will only let you take it out within x months of ownership.

**AK88** · 28-02-2018,07:36 PM

I have taken a 5yr gap policy with ALA (expires August 2019) and they were £600 cheaper then what Audi was offering to me for just 3yrs - I haven't had to make a call on this policy.

However I also took out a tyre insurance policy (max of 5 claims) with ALA and had 3 tyres replaced by them with no hassle at all.

**GapInsurance.co.uk** · 28-02-2018,08:12 PM

Originally Posted by ginvi

Any advice on gap insurance is it worth getting one. Got a car from a dealer and they are trying to push one on me. I asked to find out more before I commit or not. Wonder whether it is like the days of extended warranty on washing machines.

Motor Dealers are currently under investigation (again) by the FCA due to how they sell and the prices they charge for GAP insurance. The financial regulator in the US are apparently preparing to sue Santander over there due to policyholders having been mis-sold and overcharged for GAP insurance. Allianz and Suncorp over in OZ have recently been ordered to refund policyholders $62.8m for much the same reason. It's only a matter of time before motor dealers in the UK see some considerable action taken by the FCA because the FCA's most recent attempt to curb their antics (the introduction of the "4-day rule") back in September 2015 has pretty much failed to achieve anything - motor dealers are STILL mis-selling and overcharging for it.

Is GAP insurance worth it? Absolutely! But it's almost exclusively never worth sourcing it from a motor dealer. Even if it's free! (see here).

Check us out at www.gapinsurance.co.uk - we sell Contract Hire, Invoice & Replacement GAP insurance at prices up to 85% cheaper than a Motor Dealer would charge you. What's more VWAudiForum.co.uk members get 10% discount off all of our policy types using discount code: "VWAF10". We also have Scratch & Dent insurance, Tyre and Alloy Wheel insurance too and the same discount code works with them!

HTH

**Monktopus** · 04-03-2018,09:02 PM

My view when buying a used car only last week was that, should I be unlucky enough to have my car written off after say 1 year, I would simply use the payout of the value of the car at the time as a big deposit on the next car. All this would do would be to bring forward my next change of car which I personally would keep for three years before changing

It's all down to your attitude to risk. Mine is that I'd be extremely unlucky to have my car written off so I'll save the money on the gap insurance and proceed as above should the worst happen.

Now, if you getting the car on finance (PCP or otherwise) it's a different story as I think (I'm no expert on these things) you'll liable for the full term of repayments and therefore you'll need to fill the financial "gap" between the insurance payout and the new value to replace the car the finance company still owns.

Just my thoughts...

**Old Nick** · 07-03-2018,04:02 PM

I have had three cars insured with ALA.co.uk - Great company and much cheaper than Auidi.

**checkmate** · 19-04-2018,01:13 PM

My gap expires in December time away I know but can we get another gap insurance for further 3 years? If so would the value of car be new car value or car value of that day I renew?

Sent from my ONEPLUS A5000 using Tapatalk