Is it really worth buying it? I've always said I'm not interested when dealers have tried to sell it in the past, thinking it's just another way for them to sell me something I don't need and earn themselves commission. I understand that it makes up the difference in price between what the insurers offer you and the original price of the car, but what if I'm buying a heavily discounted new car? The Meg I'm buying is just under £29,000 RRP, but I'm only paying £18,851. Is it still worth taking out GAP insurance?
100% take out GAP. I've done it on all my cars. it's not a ploy to get more money, it's genuine peace of mind. Put it this way, my mate owed 12k on his 3 series, but it was written off and he only got 7k for it. Had GAP and his money was made up so he wasn't left with finance on a car he no longer owned. IMO you'd be foolish not to take it out. It's cheap anyway
Entirely depends on your attitude to risk (and I'd also say on your previous driving record). If you really are risk adverse, then get the extra insurance. Same if you tend to have a lot of bumps or aren't the best driver tbh. If you don't mind taking the small extra chance that your car is going to be written off, then don't bother. Understand that it only provides cover if it's written off. A non-total loss claim, and you will still get the car repaired as normal. Also worth checking if your current policy covers return to invoice clause - some do as standard. Insurance is like any other service - it exists purely to make money from you. Only you can honestly decide weather or not GAP insurance is worth it.
Dont forget to include fire and theft to that i got 15k of cover (on a veh replacement basis) for 5 years for about £90, no brainer!
What value do I put on the car though for GAP? The £18851 that I pay or the full RRP? The insurance company will surely see it as a £29000 car and take the valuation when writing it off from that. Borrowing 11k so is it still worth it? I'm 40 years old and not had any accidents for the past 20 years.
Think I've seen this offer when my mate tried to order the same car on the phone they said they had made a mistake and it worked out at just over 24k, good luck though
GAP is to cover the difference the normal insurance will pay out on a total loss claim and what you owe the finance company. This is why it's not always a no-brainer. If your normal insurance pays out enough to cover the losses, the GAP insurance won't pay anything.
http://www.military.motorsourcegroup.com/ Spoke to them last week, they source the car through Greehous. Is this who your mate used?
No it was a different company, you've got a bargain though, well done you could run it for a couple of years and get your money back lol
I've been looking around at second hand ones 1-2 years old for this price but struggling to find the right one. Someone at work suggested trying this company. Although the spec doesn't include recaro's I begrudge paying another £1300 when the leather pack is a free option (£1250 normally). If it was just cloth interior I'd happily pay for recaro's.
Even if you spec the recaro seats it's still cheap will also be easier to sell on but if your happy without why bother
Gap is one of the only products worth purchasing when buying a new car. Most dealers charge 300 one off but you can get it cheaper, saves the arguing if the inevitable ever happens with insurance companies
I think the only other option I'll pay for is the electric folding mirrors. I really like the recaro's. If the leather pack wasn't free I'd definitely order them. I know it sounds silly but when there's a £1250 freebie I can't bring myself to pay out £1300 and not use the freebie.
If you decide to take out the GAP insurance do not buy it from the dealer as they sell it a hugely inflated price. When I bought my Megane for £18k the dealers tried to sell me a policy for over £300, I did a bit of searching on the internet and managed to purchase the same policy from a company called ALA for £90.
