Gap Insurance will protect you if you write off your vehicle. Your motor insurer may not pay you enough either to settle any finance outstanding on your vehicle or purchase a replacement vehicle. Gap Insurance will ensure that you are not left out of pocket if you have a total insurance loss by covering any shortfall between your insurance pay out and the amount outstanding on the finance agreement.
Over half a million cars are stolen each year, most of these are written off or vandalised. Add to that the large number of accidents each year and you could be the next person to suffer a vehicle write off. A Gap Insurance policy will cover you against financial loss should your car be stolen and/or written off.
Most of us think our Comprehensive Motor Insurance covers us if our vehicle is written off… THINK AGAIN!
So what happens if the current market value is not enough to replace your vehicle or pay off your finance or contract hire agreement?
If your vehicle is written off your motor insurer will only pay the current market value for your vehicle Simple, there is a financial GAP that you will have to pay out of your own pocket.
Why should I purchase GAP Insurance?
- UK Car Crime is a third of all crime
- A vehicle is stolen every minute, 33% of these are never recovered
- Cars depreciate by up to 77% over a 3 year period
- Motor insurance settlements are always less than the price you pay for your car