I'm afraid I don't have time to go in to this in too much detail right now (I'm just getting ready for a fundraising event this evening for a football team that I play for) but if you look here: http://www.briskoda.net/forums/topic/332184-gap-insurance/page-2 (I think it's about the 25th post/comment on that page, from me) I give some advice about Contract Hire Agreements and how actually you may not need GAP insurance at all - it all depends on the wording of your Contract Hire Agreement.

I apologise for any typos in this message, I'm typing quickly on an iPhone and the productive text is a killer!

Cheers

David

Thanks for the pointer. Had a read through that page and will hit you up once I get it.

Thanks, Matt

I used live chat to one of your advisors today and she said I may not need it depending on the contract, really nice that someone doesn't actually try to push a sale, well done.

The car I am leasing through Vwfs is nearly £25k but I haven't got a clue what I need to look for in the contract.

I presume all the Vwfs lease contracts are similar.

What questions do I need to ask ?

If you are leasing you are not actually the owner so would the first year replacement cover apply via your insurance, anyone know ?

Mine is on a three year lease so I wouldn't need any longer cover so I presume I would need either 2 year ( if the insurance covered the first year or 3 year cover.

I need to keep the price rock bottom, is it invoice cover I would need ?

My advice: buy GAP. And make sure it covers all the lease period.

Edited 29 March, 201511 yr by pab567

Hi David

 

Thanks for your post - took out one of of your policies this morning after reading your post. People are put off by the huge cost from Dealers. When I bought my car last month they wanted £500 for 3 year gap and £400 for an Autoglym treatment. I said no. They then offered the treatment for free if I took the gap. I decided no again. The Autoglm cost me £30 locally and you £20K 5 year gap was £288 which is great value.

 

Thanks for posting.

 

Garnett

I got hit with similar quotes when I bought my new vRS and told them swivel on it. This leaves a sour taste in your mouth when you know it is a blatant rip off. Are they not making enough on the new car? I don't think so. I also spent 1/2 hr on the computer and got my own cheaper finance deal that they couldn't match.

 

Maybe that's why I never got a Xmas card from them!

Hopefully getting my new VRS next week so I'll be giving you a ring on Monday.

 

I've been out of the office all day today.  Did you manage to speak to one of the team and is everything sorted for you now?

 

I used live chat to one of your advisors today and she said I may not need it depending on the contract, really nice that someone doesn't actually try to push a sale, well done.

The car I am leasing through Vwfs is nearly £25k but I haven't got a clue what I need to look for in the contract.

I presume all the Vwfs lease contracts are similar.

What questions do I need to ask ?

If you are leasing you are not actually the owner so would the first year replacement cover apply via your insurance, anyone know ?

Mine is on a three year lease so I wouldn't need any longer cover so I presume I would need either 2 year ( if the insurance covered the first year or 3 year cover.

I need to keep the price rock bottom, is it invoice cover I would need ?

 

If it's a Contract Hire Agreement, you WILL NOT qualify for the 1st year "replacement cover" from your Motor insurer (aka "New-For-Old cover").  This is because in order to qualify for New-For-Old cover you have to the be the first registered keeper of the vehicle and in the case of a Contract Hire Agreement you are NEVER the registered keeper of the vehicle (the finance company remain the entity named on the V5 Registration Document at all times).

 

You can also NOT have our Replacement GAP insurance policy.  Specifically you need a Contract Hire GAP insurance policy.  However, we've taken the slightly confusing step of merging Contract Hire GAP and Invoice GAP insurance together in to one document.  It basically results in a policy that works one way if you're buying the vehicle (paying the difference between motor insurance payout and original invoice price) and another way if you're Contract Hiring the vehicle (paying the difference between your Motor Insurance payout and the settlement figure of the Contract Hire Agreement at the time of loss - if there is one!

 

As for what to look for and what questions to ask, we can approach this two ways..

 

1. Phone them.  You specifically want to know how, technically, they will calculate your liability in the event of a Total Loss.

2. Scan and email a copy of your Contract Hire agreement to me (I don't need to see any data personal to you... just the sections of the contract discussing Loss or Damage to the vehicle)  I can then give you my views on it.

 

As for keeping the price rock-bottom, in order to give you a quote, I'd need to know the following:

 

• The invoice value of the vehicle (the p11d value if you have it)
• The structure of your monthly rentals... e.g. is it 3 + 35, or 6 + 35 etc?
• The value of your monthly rentals
• Whether the monthly rentals include Maintenance and if so, how much is the maintenance element.
• Whether this is a personal or commercial lease and if you're registered for VAT
• The annual mileage limit of the Contract Hire agreement

 

 

My advice: buy GAP. And make sure it covers all the lease period.

 

That's one approach and many people do it, particularly as GAP insurance for Contract Hire Agreements really isn't (when you're not dealing with a motor dealer and/or finance broker) that expensive in the grand scheme of things.  However it's still not worth spending the money if it's very clear that you don't need it.

 

I speak from experience too... my old car (Volvo V40) was written off as a result of an accident in December 2014.  The finance house (Volvo Car Finance (Lex)) calculated that the remaining balance of the Contract Hire Agreement was £18,305 (a combination of the outstanding monthly rentals and what they thought the car was worth).  My motor insurance paid out £15,000 (£14,900 after deducting my £100 excess) directly to the finance house and normally you'd expect that they'd have come after me for the remaining.  Except they didn't, plus not only did I get to walk away with nothing else left to pay, but they also refunded the two monthly rentals that I'd paid in the period of time it took the Motor Insurer to finalise the claim and pay out.

 

Clearly GAP insurance for such a Contract Hire Agreement would have been utterly pointless.  But it was quite apparent within the Contract Wordings that it wasn't necessary, sadly not all Contract Hire Agreements are so clear cut and in fact some are (IMO) intentionally unclear.  My advice would be, "If there's any doubt, buy GAP".

 

Best wishes

 

David

Hi David

 

Thanks for your post - took out one of of your policies this morning after reading your post. People are put off by the huge cost from Dealers. When I bought my car last month they wanted £500 for 3 year gap and £400 for an Autoglym treatment. I said no. They then offered the treatment for free if I took the gap. I decided no again. The Autoglm cost me £30 locally and you £20K 5 year gap was £288 which is great value.

 

Thanks for posting.

 

Garnett

 

You're very welcome! Thank you for your custom :-)

I've just saved myself over £200 by buying from GAPinsurance, me a happy Bunny (well it is Easter!)

I'm buying a 14 plate octavia from Hayselden in Doncaster for £11995  on finance,they've quoted me £329 for 3 years gap insurance by Skoda,ii wasn't aware that you could take out gap insurance for used cars,just thought it was for new cars,is this quote competetive or overpriced?

14 minutes ago, batemansxxxb said:

I'm buying a 14 plate octavia from Hayselden in Doncaster for £11995  on finance,they've quoted me £329 for 3 years gap insurance by Skoda,ii wasn't aware that you could take out gap insurance for used cars,just thought it was for new cars,is this quote competetive or overpriced?

 

Way over priced. ALA should be a little over £100 (from the quick check I just did). 

2 hours ago, SC03OTT said:

 

Way over priced. ALA should be a little over £100 (from the quick check I just did). 

 

+1 for ALA Gap Ins

Thanks for the replies,checked ALA & for £10,000 cover (which is the cover skoda are offering) is £126  quite a bit cheaper than skoda

4 hours ago, batemansxxxb said:

Thanks for the replies,checked ALA & for £10,000 cover (which is the cover skoda are offering) is £126  quite a bit cheaper than skoda

 

Should be able to get it for slightly less if you use PISTON12 discount code. Knocks off 12% iirc and is what I used for mine.

21 minutes ago, ahenners said:

 

Should be able to get it for slightly less if you use PISTON12 discount code. Knocks off 12% iirc and is what I used for mine.

Thanks for the code

Your friendly forum sponsors are normally cheaper than ALA for a better policy from the same underwriter and, we have our own discount code for forum members too! #justsayin'

Pick up the car tomorrow,so i'll be in touch for a quote in the next couple of days

On 24/04/2017 at 21:01, batemansxxxb said:

Pick up the car tomorrow,so i'll be in touch for a quote in the next couple of days

 

Did you get sorted?

Hi. Yes i bought gap insurance from Hayselden for £169 it covers up to £15,000 Return to invoice,plus £250 cover for the insurance excess, not the skoda one, but with premia solutions ltd, underwritten byAlpha insurance A/S

Edited 6 May, 20179 yr by batemansxxxb

On 06/05/2017 at 23:36, batemansxxxb said:

Hi. Yes i bought gap insurance from Hayselden for £169 it covers up to £15,000 Return to invoice,plus £250 cover for the insurance excess, not the skoda one, but with premia solutions ltd, underwritten byAlpha insurance A/S

 

Sorry... I missed this reply from you.

 

Glad you got sorted but... I'm curious if there's any particular reason you didn't buy from us (or any other online provider for that matter)?

 

For example, based on a vehicle purchased for £11,995 our 3yr Invoice GAP insurance policy with say, a £10,000 Claim Limit (you don't need £15k of cover to potentially get you back to the original invoice price unless you spent somewhat more than £15k on the car) would have been £72.22 at full price but after your BRISKODA forum discount would have come down to £65.00.  Even if you'd have stepped it up to the superior Replacement GAP insurance, it would have cost you £92.66 after discount.

 

£169 that you've paid the dealer is clearly better than the £329 that they originally quoted you but, it seems to me that you've still paid over the odds.  I'm just curious to understand your decision process

 

Best wishes

 

David

Just paid Chris Knott £85 for 3 years GAP insurance on my Octavia to the value of £7500. Should cover any shortfall from a write off should it occur. Hopefully never have to find out! 

Edited 20 May, 20179 yr by threadbear

18 hours ago, David@GAPInsurance said:

 

Sorry... I missed this reply from you.

 

Glad you got sorted but... I'm curious if there's any particular reason you didn't buy from us (or any other online provider for that matter)?

 

For example, based on a vehicle purchased for £11,995 our 3yr Invoice GAP insurance policy with say, a £10,000 Claim Limit (you don't need £15k of cover to potentially get you back to the original invoice price unless you spent somewhat more than £15k on the car) would have been £72.22 at full price but after your BRISKODA forum discount would have come down to £65.00.  Even if you'd have stepped it up to the superior Replacement GAP insurance, it would have cost you £92.66 after discount.

 

£169 that you've paid the dealer is clearly better than the £329 that they originally quoted you but, it seems to me that you've still paid over the odds.  I'm just curious to understand your decision process

 

Best wishes

 

David

Sounded a reasonable deal at the time to me & saved me having to look any further