New owners and GAP insurance

[krupatel]

Personally I think GAP Insurance is a no brainer. But still undecided about how long a policy I should take out and whether to go for back to invoice or new replacement.

Any thoughts or experiences and suggestions where best to look?

Thanks.

[5678]

To me, RTI GAP is a must have for any new car.

I believe there are rules that mean an insurer will replace a <12month old car with a new one, but after this the loss from year 1 depreciation would really hurt.

Also, I'm not in a position to be buying my car outright in cash, so RTI GAP removes any concerns about negative equity in the car.

For my current BMW 650, I bought the GAP through the dealer. But... not at the £500+ they tried to sell it to me for! I had obtained quotes for around £150 for a 3yr RTI policy and told the dealer I would give him up to £150 for his policy. He agreed so I took his offer.

I have used https://www.ala.co.uk for previous policies though. I've never had to claim though! A quick quote on my ordered A6 @ approx £33k comes in at £165 for 3 years of RTI.

[robob123]

I've decided to take it out. Like others have said, if the car is on finance, it seems like a sensible precaution. Local Audi got down to £325, but eventually got it thrown in. Perhaps I will sleep more soundly tonight?!

[5678]

I've decided to take it out. Like others have said, if the car is on finance, it seems like a sensible precaution. Local Audi got down to £325, but eventually got it thrown in. Perhaps I will sleep more soundly tonight?!

Even if the car isn't on finance, a write off at 3 yrs old would mean you can replace the car with a new one. That has to be worth a few hundred £ of anyones money.

[robbyg]

lots of normal car insurance policies doe new car replacement if write off in first year. Is that not in some way a much cheaper substitute for gap?

I will be buying the car outright (taking finance and clearing after a month or so), but i will be making sure i have a new for old in first year policy.

have i missed something?

[5678]

Think of it as new for old cover for the period you choose, 3/4/5 years etc. For the sake of just £150-200.

[Sheroo]

Think of it as new for old cover for the period you choose, 3/4/5 years etc. For the sake of just £150-200.

Therefore should it be taken after Yr 1 or straight away?

[5678]

Most providers require the policy to be taken out within a certain time of buying the car.