Gap Insurance
Have you ever wondered why insurance companies only pay out up to the value of your vehicle at the time of your claim, rather than what you paid for the vehicle? Do you wish there was a way to stop your cars depreciation affecting your claims? Gap Insurance will pay the difference between your insurance company payout and your car’s value when you purchased it.
What is Gap Insurance?
In the event that your car is written off or stolen, gap insurance will ensure that you are given the value of your car at the time you bought it, rather than what it is worth when you claim. This means that your claim will not be affected by depreciation, which is one of the biggest motoring expenses.
With half a million cars written off in 2010, and over 100,000 cars reported as stolen, a third of which were never recovered to their owners there has never been a better time to consider gap insurance for your vehicle. There are a few different types of gap insurance available, so we have complied a guide on how to get the best deal and where to go for it.
Different Types of Gap Insurance
Depending on which type of insurance you would like there are different offers, but the main types of cover you could go for are the following:
Return to Value (RTV)
This type of insurance will refund the difference between the value of your car when you buy the insurance policy and the Motor Insurers depreciated value at the time your car is stolen or written off.
Return to Invoice Gap Insurance (RTI)
This type of gap insurance will refund you the different between what you paid for the car (the invoice price) and the motor Insurers depreciated value at the time your car is written off or stolen.
Vehicle Replacement Gap Insurance (VRI)
This type of insurance will allow you to replace your vehicle with a new one, even if the retail price has increased. It pays the difference between your comprehensive motor insurance settlement and the price of a replacement new vehicle.
Gap Insurance Providers
Return to Value
- Premiums start at just £44
- You can purchase insurance up to 7 years after you’ve bought your car.
- Cover available for up to 4 years.
- 21 day money back guarantee
- Available whether you paid by cash, motor loan, personal loan, contract hire, PCP or lease.
Return to Invoice
- Premiums start at just £59,
- Available for cars owned under 3 months,
- Cars can be up to 7 years old when the policy is purchased,
- Available for cars purchased from a dealer or privately,
- Cover available for up to 4 years,
- 21 day money back guarantee
Vehicle Replacement
- Premiums start at just £115
- You can purchase insurance up to 7 years after you’ve bought your car.
- Cover available for up to 4 years.
- 21 day money back guarantee
- Available for vehicles paid for with cash or borrowed money from a Bank or Motor Loan.
Gap Insurance
- Premiums start from £35,
- Available for car up to 7 years old at the start of the policy,
- Cover available for up to 3 years.
Back to Invoice Plus +
- Premiums start from £35,
- Available for car up to 7 years old at the start of the policy,
- Cover available from 1-4 years,
- Pays the first £250 of your insurance excess.
Vehicle Replacement Plus + Insurance
- Available for up to 180 days from the date of delivery,
- Available for vehicles up to 7 years old at the start of the policy.
- Cover available from 1-4 years.
Car Value Protector
- Premiums start from £3.06 per month,
- Cover available for vehicle up to 7 years old,
- Pays the difference between your insurance payout and what the car was worth at the time you took out the Car Value Protector policy, up to £15000.