GAP insurance safeguards you if you write off your motor vehicle and your car insurance isn’t going to pay enough to cover any financing products on it or the expense of replacing it.
GAP stands for Guaranteed Asset Protection. There are various sorts of this insurance to choose from. They generally cover the gap in the amount your car insurance company pays out if the car is write-off compared with what you still owe on any loans or finance or the amount you have to pay to replace the car.
GAP insurance is becoming significantly popular as a result of the high devaluation costs on cars and their falling resale prices.
Return to Invoice GAP insurance (RTI Gap Insurance). You can buy RTI GAP insurance for cars less than seven years old. However it can only be obtained within three months of buying the car. It repays the difference between your car insurance claim settlement total and the amount you bought the car for, the invoice amount for the car.
Return to Value GAP insurance (RTC Gap). You can buy RTV Gap insurance for cars aged between three months and seven years only. It will pay the difference between the car insurance claim settlement and the value of your car at the time you took arranged the policy.
Finance GAP insurance. You can pay for Finance GAP insurance for cars bought on finance, using a finance transaction . It pays the difference between your car insurance claim settlement amount and the amount of your loan . This means the payout could be more than that from RTI GAP insurance. For extra comfort you can get combined RTI and Finance GAP cover from which you get then would have the highest amount possible.
Replacement GAP insurance. You can buy replacement GAP insurance to cover the cost of replacing your car with exactly the same make/model or equivalent as you originally bought. This can only be bought for new or Ex Demo cars that are less than 3 months old and has to be purchased within 90 days of buying the car.
For more information concerning gap insurance visit www.moneyhighstreet.com
Tags: auto gap insurance, auto insurance, car insurance, gap insurance, Insurance, Money, Vehicle Insurance
