Welcome to BuyGapInsurance, the home of the latest news, views and deals on Gap Insurance in the UK. If you are here it is likely you are simply trying to find out as much information on Gap Insurance as you can.
We aim to provide you with all the information you will need, to help you understand Gap Insurance, and its many different styles so you can buy the right gap insurance for you and your circumstances.
What is Gap Insurance?
Gap Insurance, or Guaranteed Asset Protection to give it its full title, can protect you against the one thing your motor insurance cannot, DEPRECIATION!!
All vehicles will lose value over time, it is a sad fact of life, and if your vehicle is written off in an accident, or is stolen, you may find out just how much of your hard earned money you can lose.
Fact – Did you know that an estimated 600,000 vehicles are written off in the Uk alone each year?
Sure, your own insurance will pay out on the settlement for the vehilce, but that is only its market value today, not what you may have paid in the first place.
So, what about that price you paid to buy it in the first place? Or the finance settlement you have outstanding? Or even how can you replace the vehicle with a suitable model? This is where gap insurance comes in.
Fact – The difference between your own insurance companies market valuation of your vehicle on the day it was written off and the invoice, finance or like for like replacement cost can be thousands and thousands of pounds.
So what can Gap Insurance cover?
Well we will go into these in more detail in later posts, but there are several basic types of cover:
Finance Gap Insurance – to cover the difference between the vehicle market value and the outstanding finance settlement. The idea being any shortfall can be covered to settle your loan.
Return to Invoice, or RTI Gap Insurance – to cover between the market value and the original invoice price you paid. In this case you simply get your money back.
Vehicle Replacement Insurance, or VRI Gap Insurance – to cover the difference between the market value and the cost of replacing the vehicle with a ‘like for like’ model. So if you bought a brand new BMW 320 saloon with this cover, and the equivalent model is now a few thousand more than you first paid, VRI Gap Insurance can give you the extra so you can get the same model on a ‘new for old’ basis.
There are other forms, and slight variances to cover, but those are the basic types available. We will go more in depth in later posts.
Gap Insurance can protect your money
So welcome to your guide on how to buy gap insurance in the UK!
At first glance picking a level of gap insurance can seem a little daunting. Which style is going to be the best for you?
How long do you need gap insurance cover for?
What is a gap insurance claim limit and how do you pick one?
Our aim as always is to be able to give you factual real life information for that you can make you own decisins. After all no-one has the right to tell you what is best for you and how to spend your money.
So why not have a look though some of our gap insurance posts and information. If you want you can send us a question or query via our comment boxes which are found at the end of each article.
Please be aware that the comment boxes are not for advertising or self promotion so please do not include website addresses or links as these will be deleted and instead just tie the team up dealing with spam and false entries.
So before you look at any style, price or level of gap insurance we would ask to to take a few moments and think about exactly what you want your gap insurance policy to do for you when your vehicle is written off, as this will make finding your perfect policy much easier.