Gap
Car Insurance
New and used car loans and gap car insurance policies
have been Click4Gap’s core business for over twenty years now.
We try to help you by saving you money, and for this reason a lot
of customers are now choosing to by-pass motor car dealers for comprehensive
insurance and finance products.
With today’s advances in the business world with the arrival
and institution of the internet, it is now much more simple and,
of course, so much cheaper to shop around on the World Wide Web
at the simple click of a mouse button. The same can apply for gap
car insurance.
Our enthusiasm to try and help you to understand gap car insurance
is positively self-evident and we passionately believe that the
internet is the perfect place for us to share this information and
advice with you. We strive to educate and assist you with every
gap insurance problem.
Gap insurance from Click4Gap provides you with coverage when your
vehicle is either stolen or classed as a write-off by insurance
companies after an accident. This type of insurance is initiated
to cover the difference between your purchase price of the vehicle,
the total remaining amount due in settlement to the finance organization,
or the remaining debt on the vehicle according to the lease or contract
hire agreement, and the actual cash value of your motor vehicle
(the depreciated value of your vehicle according to your comprehensive
insurance company).
Although, in most cases, the finance companies require car owners
to have full, comprehensive motor insurance, gap insurance is frequently
(if not always) not included. In the event of your car being either
totalled in an accident or perhaps even stolen, you could end up
with a very nasty surprise especially with the rapid depreciation
of the car values today.
The very minute that you drive your new car off the forecourt the
value drops immediately. This means that your new car is, in fact,
not quite new anymore, and if any negative situation occurs, you
will still end up owing the full value of the car loan. Basically,
within the first year or two, the vehicle’s value will drop
a great deal. If you happen to be in an accident, or if the vehicle
is stolen, you are more than lightly likely going to find that your
comprehensive insurer’s payout will not cover the amount outstanding
on the vehicle.
Gap car insurance is extremely important when it comes to extra
insurance for your vehicle. Your comprehensive motor insurance policy
will only cover your vehicles pre-accident depreciated value which
ends up in most cases being a lot less than what you paid for the
vehicle originally. From the moment you begin driving your vehicle,
the vehicle’s value is depreciating. At the end of the day,
whether you have paid cash for your vehicle or have taken out finance
for the vehicle, in the event of a total loss of your vehicle you
could find yourself in a financially risky situation.
The reason gap car insurance is so important to car buyers, is
because the standard motor and accident insurance policies generally
only cover the car for its current market value. In some cases this
insurance pay out could end up being less than what you originally
paid for the car from the minute you drove the car off the car lot.
In the event of your car being totalled or stolen (which we hope
will not happen to you), you may find yourself paying off the loan
or finance for a vehicle which you do not drive (or even own) any
longer.
In the above situation, gap car insurance will come in extremely
handy. This type of gap insurance policy will insure you for the
difference on what you still owe on the car and the insurance companies
depreciated payout for the vehicle.
If your vehicle is stolen, the insurance situation will be the
same as when you have an accident. The comprehensive insurance policy
will cover the depreciated value of the vehicle, not necessary the
value of the loan or finance that you still owe on the vehicle or
the amount you originally paid. You might find yourself stuck paying
off a loan or finance for a vehicle that you do not have anymore.
This added to the feeling of having the car stolen in the first
place could make it a really tough time for you.
As the name implies in this insurance policy, gap car insurance
will cover what the comprehensive motor insurance cover does not.
It simply closes the gap between what the insurance company pays
out for your car, the depreciated value, in the case of theft or
accident and what you still owe the finance or lease company or
the amount you originally paid for the car
Gap insurance or better known as guaranteed asset protection insurance
will give you the added protection when your vehicle is declared
a total loss. If you have used finance to buy your vehicle the gap
insurance will pay out the difference between the vehicles pre-accident
depreciated value and the amount that is outstanding with the finance
or loan. There are other products that may also pay for the cost
of replacing your vehicle or at least provide a deposit to assist
you in buying a replacement vehicle. If you did not use a loan or
finance to purchase a vehicle there are other gap insurance products
that will pay out the difference between the original purchase price
and the vehicles pre-accident depreciated value.
Gap insurance is also known as return to invoice insurance (RTI),
back to invoice insurance, finance gap, vehicle replacement insurance
(VRI), total loss gap, shortfall cover and car gap insurance.
Click4Gap has a variety of packages to ensure you are insured correctly.
Firstly we have Return to Invoice Insurance (RTI), one of the best
options for new and used car purchases whether the customer pays
cash, finances through a finance company, contract hires or leases.
This type of gap car insurance covers the total difference between
your comprehensive insurance company’s payout and the original
purchase price of the vehicle. You are thus guaranteed to get the
full value of the vehicle back.
Another option is for new car purchases (using cash, finance options,
contract options or even lease agreements) no matter how you financed
it: Vehicle Replacement Insurance (VRI). If your car is at any point
declared a total loss by your comprehensive motor insurer, Vehicle
Replacement Insurance will ensure that you are supplied with a new
vehicle of the same make and type regardless of price fluctuations.
This type of insurance takes away the risk of the vehicle ending
up at a lower value than the settlement figure.
Gap stands for guaranteed auto protection. This means that a gap
policy will cover the gap between the depreciated settlement figure
from your insurance company and the outstanding balance that is
still outstanding on the vehicle in the event of the vehicle either
being stolen or classified a write-off in an accident. Click4Gap
provides you with all the necessary information and assistance you
will ever need when it comes to gap car insurance products and offers
the cheapest rates for these insurance policies available on the
market today.
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