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Why pay more than you have to for Gap Insurance?
A lot of things in life you expect to pay more for the best quality product, however, with certain things you don’t have to. Gap Insurance is one of those things.
The Which? Report into Gap Insurance highlighted the issue of selling Gap Insurance for extortionate amounts back in 2012. The report illustrated that dealerships up and down the UK had been charging anything from £299 for 3 years cover. This may not sound bad when you consider the benefits of Gap Insurance, however, when you can get the same level of cover with more benefits and features for just £69, why pay more than you have to?
The first time you will hear about Guaranteed Asset Protection (GAP) is likely to be within the dealership during the purchase process of the vehicle. The salesperson may point out the features and benefits of protecting yourself and your finances with a Gap policy, before, with a straight face, quoting you a price of £300+. Because protecting yourself from the effects of depreciation is such a good idea, a high percentage of people will still purchase the protection within the dealership.
In September 2015, the Financial Conduct Authority ordered dealerships and finance companies throughout the UK to abide by a new sales process for Gap Insurance. The process must include; informing customers that they can get a GAP policy elsewhere, as well as giving the customer a 4-day grace period within which the customer can consider the policy and make an informed decision on whether to purchase the policy or not. This process was ordered to give you as the consumer a chance to shop around for the best policy at the best price, rather than being forced into purchasing a policy at such a high price.
As with many things, when we are shopping around we will go online and carry out some research into the product and see if we can get it for a better price. This is when you will come across Gap Insurance 123. Being amongst the most prominent internet brands in the UK, we are likely to feature within some part of the research. You may find us on the Which? Report or featured within the Money Saving Expert review on GAP. Alternatively, you may have seen that our feature rich policies have been independently 5 star rated or that our customer service has been awarded the Gold Award by eKomi.
One thing we can be sure of, is that you shouldn’t pay more than you have to for the protection you deserve. We understand that you may believe the difference in price to result in a compromise in cover, however, the Which? Report, Money Saving Expert and the Financial Conduct Authority have all illustrated that price isn’t everything when it comes to purchasing Gap Insurance.