Taxi or private hire gap insurance has always been a difficult insurance to find.
In fact because taxi / private hire cars devalue so much quicker than Mr & Mrs Joe Averages car it is a type of cover that many insurance companies see as just to costly, too risky.
If you where lucky enough to find an insurance company to offer you Taxi Gap insurance it was usually so expensive that it was just not affordable for most.
Thankfully there are more and more insurance companies who are now looking at the Taxi and private hire markets.
This means that at last there is competition with types of cover and prices.
So What is Taxi Gap insurance and why do you need it?
Let me show you.
Lets say that you buy a car for £16,000 in 2011. By 2013 you car has worked hard and now has £92000 miles on the clock. Everything is going well until ( not you fault) you are involved in an accident.
Thankfully you are fine but your car is written off, just too much damage. Your own motor insurance company will only pay you your vehicles valuation on the day your taxi was written off. If the average car looses up to 50 % in the first three years with average mileage you taxi will have lost even more and is now valued at £5500.
OK so if the thought of loosing £10500 is no problem for you then Taxi Gap insurance is not for you.
If however like most of us this would be a disaster Taxi Gap insurance can help.
Taxi return to invoice gap insurance in this example would pay the difference between your taxis valuation and the £16,000 you paid. So you would get a cheque from your own insurance company for £5500 and a second cheque for £10500 from gap insurance. ( based on a £15,000 claim limit).
We even found one supplier who would let you pay in 12 insterest free instalements.
So with taxi gap insurance from as little as a couple of pounds a week can you afford not to get a quote?