What is car gap insurance and what can it do for you?

Car gap insurance is essentially just like any other form of gap insurance.

The problem is that in most cases you are only introduced to the world of car gap insurance when you motor dealership offers you their level for gap insurance.

We know from speak to thousands and thousands of customers that this will have most likely been a form of return to invoice gap insurance and you will have been quoted in the region of £395 for a basic three years cover. That said we do know of one brand of German cars who currently quote over £895 and one finance house who typically quotes over £1200.

So why are car gap insurance prices so different on the inter-net?

What is Car Gap Insurance & What can it do for you?

What is Car Gap Insurance & What can it do for you?

What is the catch  are the levels of cover so different ?

Well that is an easy one there isn’t a catch and no levels of cover are in fact in most cases more comprehensive.

Instead when you buy car gap insurance from your local dealership there are factual reasons why the prices will always be very different.

  1. If you buy car gap insurance from your dealership they are legally bound to charge you IPT ( insurance premium tax ) at a much higher rate.
  2. Insurance is just like any business so volume counts. In most cases an online supplier can provide a dealerships yearly gap insurance sales in a matter of days. This means that on line suppliers have a much lower wholesale price.
  3. By going directly to the insurance broker or provider you are cutting out the middle man. No manufacturers commission, no sales executives commission.

So the price differences are absolutely nothing to o with levels of support, reliability, cover, back up or customer service.

In fact when you take a look at car gap insurance policies and prices on the inter net you will find increased levels of cover at a fraction of dealership prices.