Most people still purchase gap insurance policies direct from their motor dealer
not knowing that if they shop around, and compare prices that they will find that
a substantial saving against the dealer price.
Under new rules, motor dealers have to pay a 20% tax on gap insurance but an insurance
broker only pays 6%, automatically a 14% saving that is passed on to customers.
Typical Cost of Gap from motor dealer 3 Year Policy = £399 - Our Premium for
same cover £225
Who to buy GAP Insurance from
The fact is purchasing an GAP insurance policy from an insurance professional rather
than from a motor dealer can be much cheaper. In many cases not only is the premium
cheaper but the cover offered from an insurance professional is often far superior
in terms of features, than the protection offered by your dealer or on line provider.
What happens if you have to claim
The motor dealer or online provider are simply a ‘retailer’ of the insurance policy.
Once premium is paid and cover placed they have finished the sale and will usually
not offer assistance on any claim. Insurance brokers will be happy to assist not
only on the purchase of your cover, but will offer a claims handling service.