Gap Insurance Coverage

GAP Insurance FAQs

Admin — Fri, 14 Aug 2009 19:34:28 +0000

When you proceed to your car dealership company to finally get that new car, probably the last thing on your mind is the thought of what is going to happen when your brand new car or your “newly-bought” car gets totaled soon. Guaranteed Auto Protection, or simply known as GAP or GAP insurance, will take care of the gap in your standard insurance that you most likely mistake to be included in the coverage already. As a matter of fact, it shows from studies that 9 out of 10 car owners have no idea of what GAP insurance cover is. This is sad, because GAP could prove to be the most important coverage you could have purchased as a car owner. Therefore, you must familiarize yourself with what it is and how it works so that you can determine if taking it up would be beneficial to you.
Basically, GAP will provide coverage for the difference between the amount you owe on your car insurance and the value of your car’s worth. This makes it almost a must for those who are buying brand new cars since all cars begin to lose value as soon as it is used, meaning, as soon as you drive it off from the car dealership company.
GAP insurance would, most of the time, provide coverage for accidents and thefts but this does not apply to all policies so it would be a good idea to compare different plans before buying. The following are some of the most common and pressing questions regarding GAP insurance:

1.) Can I purchase GAP insurance for my older car?
You may or may not be able to get GAP insurance for your older car. Basically, GAP insurance is offered only to brand new cars. However, some insurers allow car owners to take it up even if their car is not brand new, depending on its model and year.
2.) I leased a car. Does it already have GAP insurance?
Most of the time, the lease already includes GAP but it is still best to read the terms carefully before leasing a car because there are still some lease policies that exclude GAP from their coverage.
3.) Are all car owners required by law to take up GAP insurance for their cars?
No. Some states require collision and comprehensive insurance and some lending companies that finance cars do necessitate full coverage insurance but this excludes GAP.

3.) Can I purchase GAP insurance from the car dealership company where I bought my car?
Yes. Most car dealership companies will make a lot of offers before you get to leave their lot. These offers would most probably include GAP insurance. However, before you decide to purchase it from your car dealership, make sure that your standard car insurance does not include GAP.

4.) How would I know if my present insurance company offers GAP?

You ask, of course. Before you decide to buy your new car, inquire about GAP insurance first with your current insurer because it might already be incorporated in your premium. If not, then you can choose to take up GAP for an additional but reasonable cost.

5.) If my current insurance provider does not offer GAP, where else can I buy it?
You can buy GAP insurance from your car dealership company, from another insurance provider, or from an online GAP insurance company.

GAP Insurance – Secure Your Vehicle Investments

Admin — Fri, 31 Jul 2009 21:41:35 +0000

Many people ask why GAP insurance is considered as your personal safety belt in financial matters. Consider this, such insurance prevents you from financial problems in case your vehicle meets an accident. Just imagine that you are in this scenario: you have just bought a car of late model with the usual car insurance a few months back through a car loan. The car has a £30,000 price tag and you are required to pay £900 every month. Then, an electric post suddenly drops and totally flattens your car. Prior to the time of the accident, you have already paid for three months.
The natural thing to do is report to the insurance company and they will calculate how much they will provide you. After some time, they tell you that your car is just worth £25,000 before the accident. But the lender of the loan says otherwise. They do their own calculations and come up with a £38,000 value. They will require you to pay such price. So now, your car is ruined but you still have to come up with an additional £13,000.

With GAP insurance, you need not go under such stress. With this insurance, you can forget about paying the difference of the amount covered by the loan you borrowed and the car insurance that you have. This difference of amount is known as a “gap”, thus the name. The insurance pays for this “gap”, so you can save yourself all the trouble of looking for the additional amount.

When you are going to acquire GAP insurance, you first have to consider how much the insurance policy will provide. Moreover, you need to know the amount that will be added up to your monthly bill. If you want your GAP insurance to be recognized, it should come with inclusive insurance policies that will cover collisions. But you may disregard getting GAP insurance if your regular car insurance policy states that the provider will reimburse the full amount of the money you owed from the loan lender.

How Does GAP Insurance Affect My Car Loan?

Admin — Sat, 04 Jul 2009 00:26:44 +0000

GAP (Guaranteed Auto Insurance) is an insurance that will give the insurer a piece of mind. This is because a GAP insurance covers the difference between the worth of the car and the money you still owe on the car. This insurance is especially important in cases where you are still paying for your car and it is stolen or damaged beyond repair or the car’s repair would cost more than its worth.

Remember that unless you have paid in full the car you purchased, it technically and legally still belongs to the manufacturer or that bank which financed it. Therefore, you are responsible for it if something happens to it. Or simply, even if the car is stolen or is rendered unusable, you would still need to pay its amortization. Therefore, so as not to make it hard on yourself and feel bad about paying monthly for something that is no longer existing or usable, then you would definitely want to get a GAP insurance policy. As the name of this insurance suggests, it will pay for the “GAP” between the amount still unpaid to the leasing institution and the amount of the car if totaled or stolen.
For a more vivid illustration, let us take for example that you bought a car for £20,000. Payments are at £400 per month at an interest rate of 5%. Then all of a sudden, the car was hit by a truck that lost its breaks and was totally wrecked. You will of course be calling your regular car insurance company. However, since time passed since the car was bought, the auto insurance decides that the price of the car at that time is only at £15,000 and will only be covering that amount. This will make you face the fact that your car has already depreciated 25% and you will have to shell out £5,000 worth for the car. This will not happen if you have a GAP insurance. This insurance will be the one to cover the GAP, meaning it will be paying for the lacking £5,000 for repair or replacement of the vehicle.

When getting a car under a financing company, the latter usually requires the car buyer to get a GAP insurance aside from the regular auto insurance. However, it is important that you check the coverage of your GAP insurance, as well as the auto insurance, and make sure that the car is well covered. You may also want to check for the best quotes and rates for the insurance you will finally choose.

To get quotes, rates and various auto and GAP insurance coverage for reason of comparison, you may simply go online and visit websites that specialize on this. These websites will lead you to the best offers there is and will make you get your money’s worth. You may also opt to get the services of a reputable insurance broker who would be able to quickly and intelligently give you the best insurance companies where you can choose from.

Feartures of Car Gap Insurance

Admin — Sat, 27 Jun 2009 17:39:14 +0000

Some of the features that can be found with Gap Car Insurance are that there is no claim limit. It is possible to find a company that doesn’t put a cap on the amount of money that is paid out. If you own an expensive vehicle this is the type of Gap Insurance feature that you will want. This post sets out a summary of gap insurance as it applies to cars but if you are looking for a more detailed guide to car gap insurance the read our gap insurance explained guide You can get this insurance for up to seven years from the date of purchase of your vehicle. It won’t matter if you bought your car from a dealership or a private party. Other features could include a transfer to another vehicle within ninety days if the car is similar. Some companies do this for no charge. You also have a right to change your mind about the coverage and if you do so within a certain period of time you can expect a full refund.

Knowing what Gap Insurance for your car can do for you can help you to make an informed decision about purchasing it. Research the different companies that offer this coverage and compare prices. It will be important to make sure that the coverage is identical from each company so that you are able to make exact comparisons. We specialise in providing cost effective gap cover for your car so if you would like a quote try our online quote service or call and speak to an adviser who can also guide you through the gap options and answer any questions that you may have.

Save up to 75% on Dealership Gap Prices

Admin — Thu, 11 Jun 2009 23:23:01 +0000

Our gap insurance cover can be obtained for a fraction of the cost of identical policies that are offered by many vehicle dealerships. Most gap insurance policies are sold through car dealerships which is not an issue in itself but the prices charged by these dealerships is often up to 75% higher than the cost of identical policies online. Dealers rely on the fact that there is already an element of inertia as you will have just bought your vehicle and the cost of the gap cover will not appear expensive in the context of what you have just spent on the car or motorbike. However, if you take the time to go online and shop around you can save a considerable amount.

Our policies are kept as affordable as possible. We don’t provide unnecessary ad ons and our exclusions are easy to understand. We provide a streamlined claims process that ,means that you can obtain cover in as little as just two minutes using our intuative online quotation tool to get your gap quote. If you decide not to take out a policy because you want to explore what other gap providers are offering then you can resume the purchase process up to 30 days after first obtaining your quote. The quote will remain valid for the 30 day period and if you want to take out the gap insurance you won’t have to start the quote process from the beggining.

Gap Insurance Coverage Launches

Admin — Sat, 06 Jun 2009 17:36:30 +0000

Welcome to our new gap insurance site. As part of the InsSure Group we bring you cost effective gap insurance with first class claims handling, quick quote services that don’t require you to provide unnesecary data. Our market leading range of gap insurance products are designed to suit the needs of modern motorists by providing flexability. We provide back to invoice gap insurance, back to value gap insurance and finance gap insurance. To find out the full detail of our puroducts visit the pages using the following links. For general gap insurance information visit our home page. For information on back to invoice gap insurance visit our back to invoice page. Finally if you are looking to protect against the outstanding amount of finance on your vehicle then visit our fincnce gap age for information and a quote.