So you’ve just had a spin in your potential new car, infact you look so good in it you know with certainty that you are going to buy it, all that’s left to do is deal with the paperwork, sign up to the GAP insurance and arrange a collection date.
But lets just rewind a moment and consider the GAP insurance. The first question is, what does GAP insurance actually mean? The answer, Guaranteed Asset Protection.
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In a nutshell, whether you purchase your vehicle by cash, finance or lease hire, GAP insurance covers you for the short fall between the insurance payout and either the invoice price or finance agreement (depending on how you made the purchase) if the vehicle is written off.
Lets also consider this fact; the moment that you drive off the garage forecourt in your lovely new vehicle it starts to depreciate at an alarming rate, in fact after 3 years the vehicle is likely to be worth only around 40% of its original list price. Horrendous when you consider the original price of the vehicle and the fact that you will only be recompensed the market price of the vehicle by your insurer. To add further insult to injury, you will still be financially liable for the shortfall.
GAP insurance is an invaluable product that provides you with peace of mind should you ever find yourself in this unpleasant situation. Here at A1 Insurance we are exceptional pleased with our choice of GAP provider due to the exceptional quality of the product coupled with, what we believe, is the best price on the market.
Let the car sales man finish his spiel, ask him for a few extras and a couple of air fresheners, but ask us for a GAP insurance quote, after all nobody wants to pay more than they have to.
For more information and advice on GAP Insurance give our team a call on 01377 318255.
