Just got a new car ? Was offered Gap Insurance sounded like a good idea but wow £395.00. Just sounds like a lot of money? Has anyone taken gap insurance or know more about it. Felt a bit silly asking for more information as I could tell they where mad busy.

If your spending £395 I'd expect them to give you as much explanation/time as you want! Your the customer at the end of the day.

Basically GAP will make up the difference between your insurance payout and the cars invoive price.

Figures for illustration only....

List price 20k, Car is written off/stolen, insurance pays out market value - say 13k (all depends on age/mileage of course!) in this case GAP will payout 7k, leaving you with the 20k you originally paid for the car.

GAP is usually only offered for 2/3 years though, then you'll need another policy. Your dealer can move on that £395 price if they want to, I paid £225 for mine IIRC.

Hi welcome to Briskoda. There is a dedicated insurance section to this site so your question maybe better answered there; but for me I would not be buying GAP from a stealer, they get paid commission for selling overpriced insurance and paint protection products. I have gap insurance but I bought mine online from click4gap.co.uk. Stick gap insurance into Google and you'll see numerous options and it will be a lot cheaper!

Edited 12 October, 201015 yr by willskoda

Some car insurance policies will pay out the full purchase price of a car if damaged/stolen in the first two years.  This partly offsets the need for GAP insurance and is likely to be cheaper in my view than a stand alone GAP policy. Its worth asking about when looking for insurance. 

Welcome to Briskoda

Hi,

Sort of in the same boat MrsV, long time member just new to the forum posts, but hope my opinion helps.

I worked in the motor industry for 10 years, and for 3 years as a Business Manager, dealing with items such as GAP Insurance, and I have to say the prices in the dealers are high. Obvioulsy, they want to make as much profit as they can.

Ok, the levels of cover are actually quite straightforward. As Keith mentioned, the most common is called 'Return to invoice' which covers the difference between the insurance payout and the invoice price you paid. However, there is another level, which in my opinion, is much better for new , demo or pre reg cars called Vehicle Replacement Insurance. Basically, it can cover the difference between your insurance payout and the cost of a new 'like for like' car, so a bit like 'new for old' on your home contents insurance. So if you buy a new car for £15k, and its written off 3 years later, valued at say £8k. If the cost of the equivalent car new is now £18k, then the VRI could pay the £10k difference.

In terms of buying a policy, there is plenty of choice on the net. I tried quite a few site recently, ala, click4gap, but the one I settled for was through easygap.co.uk. Got a VRI policy with a £10k claim limit for £150, which was the cheapest I could find. The insurer is a company who's products I had sold in dealerships, so I know it well. Big advantage was that I could pay over 12 months with no interest, which I could not find elsewhere. (PS I can still cancel so if anyones got VRI cheaper just let me know!!)

Sorry for the longwinded answer, its just something I should know plenty about so I hope it helps

Edited 16 October, 201015 yr by staveros

I paid £250 for the GAP on my vRS. Hopefully, I'll never need it, but a mate of mine has his Seat Leon written off on the M1 and the GAP covered the £3500 shortfall.

Hi and welcome aboard.

I paid about £200 for mine at the dealers 4 years ago.When we ordered my wife's CITROËN DS3 we were offered it for £295, we said no, he then went into the office and said if it was free would you have it , we said yes! Near the end of the month at the time and they had to reach their targets :yes:

Hello and welcome to Briskoda.

Are you cute?

Wow just wanted to say thank you for all your comments and thank you for your warm welcome. I had heard that you where all a good bunch But i never really expected anyone to respond or help. So Big thank you & Andy D I hope your friend is ok after the accident.

:clap: