This is how to get 3 year Gap Insurance (return to invoice) for a car purchased for an example value of £8295.00 for a one-off premium of £57.39 from ALA Insurance which is recommended by HONESTJOHN.co.uk.
This insurance will cover the difference between what you paid for the car and what you get back from your insurance company if your car is written off within 3 years. E.g. your car is stolen or written off following an accident, your insurance company settles you £6000, the Gap Insurance will pay you the difference of £2295, so you receive the total amount you paid for your car.
The quote from ALA is £82, but also get a quote from MotorPocket.com and ask ALA to price match, not only will they match the price of £61.49, they will beat it by 20% of the difference.
So you can get 3 years return to invoice gap insurance for 3 years for £57.39, based on a purchase price of £8295 with a claim limit of £5000.
Gap insurance from the car dealership was over £300 and is nearly always far more expensive to buy from the car dealer than purchasing yourself separately.
Above is just an example based on £8295, after shopping around this was the best deal I could find. If you are in the market for gap insurance your premium could be more or less depending on the value of your car.
To get gap insurance from ALA you needed to have purchased your car after 21 Aug 15.
Insurance to cover pathetic ripoff insurance cover. Lol. Love it.
topss
17 Feb 1636#32
And the moral of your story it seems, is that you don't understand GAP insurance.
adamc11
17 Feb 1612#11
It is kind of a joke how you need insurance to insure your insurance policy. Why can't your standard insurance just cover the actual cost and not the bare minimum.
topss
17 Feb 1611#40
Of course you might have a point if GAP insurance was only for financed cars. Which it's not. So no, you don't seem to understand it.
How about a lease car where someone pays an upfront deposit? A lot of insurers won't cover that deposit in the event of a write off. So a few weeks into the lease you could be £1000+ out of pocket. Hopefully you understand that leasing isn't always taken out by people who are trying to punch above their pay packets.
Also and more in direct response to your post, what if I purchase, like pay outright, no finance or lease, a car for £10,000. A year down the line it's worth maybe at best £9,000. Gets written off. Insurance will say it's worth less. So maybe you would get back £8,500. GAP insurance would cover you for the other £1,500. Seems pretty reasonable to me.
Now if you're happy with 'losing' £1,500 because you feel you have had that much use out of it, then that's fine, but then if you're of that mindset, then leasing is probably perfectly suited to you. It's not always about trying to drive or own something you can't afford outright. It can make financial sense. See, on one hand you seem to be trying to say be financially astute, but then your other comments lead me to believe you're not.
All comments (271)
Newbold
16 Feb 161#1
Way, way cheaper than from a dealer.......nice one. :wink:
Gozer to Newbold
17 Feb 16#161
Yes, my Mazda dealer quoted me £359 and this is coming out as £100. That's a huge difference.
Thanks OP
Graham1979
16 Feb 16#2
Think this is well worth it, for such a cheap price compared to dealerships etc
pennyfarthing88
16 Feb 161#3
Great deal for that extra reassurance what if situation!
Not for me though but!
Heat added :smiley:
999kernow
16 Feb 16#4
great price
Ralph888
16 Feb 16#5
Good price, timely as I ordered a new car yesterday. Dealer wanted £299 and gave it a fancy name of Asset Protection and ALA wanted £200 but TCB reduces it by £20 if it tracks. Like the option of 5 years. Thanks OP
oddballjamie
16 Feb 164#6
Quite a lot of insurance companies do new for old within the first year.
If yours does, then defer the GAP cover as long as you can.
OP what's the quotes on a realistically priced new car?
thelonious
16 Feb 161#7
NFU do it for two years, so on my two-year lease I don't need gap insurance at all.
gobhoblin
16 Feb 16#8
most decent insurers replace new for old in first 12 months of owning.
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Opening post
This insurance will cover the difference between what you paid for the car and what you get back from your insurance company if your car is written off within 3 years. E.g. your car is stolen or written off following an accident, your insurance company settles you £6000, the Gap Insurance will pay you the difference of £2295, so you receive the total amount you paid for your car.
The quote from ALA is £82, but also get a quote from MotorPocket.com and ask ALA to price match, not only will they match the price of £61.49, they will beat it by 20% of the difference.
So you can get 3 years return to invoice gap insurance for 3 years for £57.39, based on a purchase price of £8295 with a claim limit of £5000.
Gap insurance from the car dealership was over £300 and is nearly always far more expensive to buy from the car dealer than purchasing yourself separately.
Above is just an example based on £8295, after shopping around this was the best deal I could find. If you are in the market for gap insurance your premium could be more or less depending on the value of your car.
To get gap insurance from ALA you needed to have purchased your car after 21 Aug 15.
https://www.honestjohngap.co.uk/quote.php?action=goto&prod=GAP&group=cars&options=1
Top comments
How about a lease car where someone pays an upfront deposit? A lot of insurers won't cover that deposit in the event of a write off. So a few weeks into the lease you could be £1000+ out of pocket. Hopefully you understand that leasing isn't always taken out by people who are trying to punch above their pay packets.
Also and more in direct response to your post, what if I purchase, like pay outright, no finance or lease, a car for £10,000. A year down the line it's worth maybe at best £9,000. Gets written off. Insurance will say it's worth less. So maybe you would get back £8,500. GAP insurance would cover you for the other £1,500. Seems pretty reasonable to me.
Now if you're happy with 'losing' £1,500 because you feel you have had that much use out of it, then that's fine, but then if you're of that mindset, then leasing is probably perfectly suited to you. It's not always about trying to drive or own something you can't afford outright. It can make financial sense. See, on one hand you seem to be trying to say be financially astute, but then your other comments lead me to believe you're not.
All comments (271)
Thanks OP
Not for me though but!
Heat added :smiley:
If yours does, then defer the GAP cover as long as you can.
OP what's the quotes on a realistically priced new car?