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Shortfall Gap Insurance for your ChevroletChevrolet Shortfall Insurance

 

How Can Shortfall Gap Insurance Protect Your Chevrolet?

 

This page has been written to help you with your understanding of Shortfall Insurance, also known as Gap Insurance and to help you recognise its full importance.

 

On this page you will find three examples of our three most popular policy types: Return to Invoice, Vehicle Replacement and Contract Hire/Finance Gap.

 

In these examples, we use Georgia and her Chevrolet Aveo.

We hope that by using the example of Georgia, you will begin to understand the in's and out's of Gap Insurance and its importance to not just your Chevrolet, but most importantly to your finances.

 

Unlike other online providers, we believe in presenting our work in a simple, straight forward manner. We are often credited by our customers for this ethos as they say that it significantly aids their understanding and helps them to make well informed decisions about protecting their Chevrolet with Shortfall Insurance.


We know that the majority of our customers first hear about Gap Insurance at their local Chevrolet dealership where they are quoted anything in between the price range of £399 to as much as £1000.

 

However at Shortfall.co.uk, customers will find that they have access to a range of low cost, five star policies, which are up to 85% of the average dealership price inclusive of insurance premium tax.

 

All our policies are genuine, tried and tested and are currently subject to a range of awards for both cost and quality.

 

They are also all backed by the financial compensation scheme.

 

Customers often rightly ask about the reasons for the price difference between us and the dealership, all of which can be found here.


Before you go ahead and read the examples, please consider the following important FACTS:

 

An estimated 600,000 vehicles are written off each year in the UK

 

The average vehicle can depreciate by up to 50% in the first three years, including your Chevrolet

 

Your comprehensive insurer will only ever pay you, the driver the market value of your Chevrolet at the time it was written off or stolen

 

Your Shortfall Insurance provider will not reimburse you your Chevrolet's road tax as this can be claimed back from the DVLA

Shortfall Vehicle Replacement Insurance for your ChevroletChevrolet Vehicle Replacement Insurance at Shortfall

 

What Can Vehicle Replacement Shortfall Insurance Do For Your Chevrolet?

 

Vehicle Replacement Shortfall Insurance is similar to the Return to Invoice Shortfall Insurance policy, however, it has with one fundamental difference.

 

It will take into account that the invoice price of your Chevrolet may increase and therefore will provide you with protection  against this possible increase in the invoice price of your Chevrolet.

 

The invoice price of your Chevrolet may increase for a range of reasons, for example if Chevrolet introduce an upgraded version of your model, or if the cost of particular raw materials increase for example oil or iron.

 

In other words, Vehicle Replacement Shortfall Insurance will pay you the amount you need to purchase another Chevrolet of the same age, mileage and condition as yours originally was when you first drove it out of the show room.

 

Please see the real life example of Georgia that we have put together to deepen your understanding of Vehicle Replacement Shortfall Insurance:

 

Georgia purchase a Chevrolet Aveo for £10,000

 

Three years later, she is involved in a motoring accident that thankfully leaves her unhurt, but the Chevrolet is written off

 

Georgia receives a settlement payment of £5,000 from her comprehensive insurer, because this was the market value of her Chevrolet Aveo at the time it was written off

 

Please take note of this significant depreciation, no vehicle is immune to the levels of depreciation, not even your Chevrolet

 

To purchase another Chevrolet, Georgia needs an additional £5,000

 

As you may already know, the basic Return to Invoice policy will just pay Georgia this £5,000 and return her to the invoice price

 

However, Georgia is informed by the Chevrolet dealership that the invoice price of her Chevrolet Aveo has now increased from £10,000 to £15,000

 

This means that too purchase another Chevrolet, Georgia needs an additional £10,000

 

Vehicle Replacement will pay Georgia this £10,000 and allow Georgia to purchase another Chevrolet Aveo if she so wishes. If the original Chevrolet Aveo model cannot be replaced, she will be paid the relevant funds to to purchase another Chevrolet of the same age, mileage and condition as the Chevrolet Aveo was when Georgia first drove it out of the show room.

 

Shortfall Vehicle Replacement Insurance for Chevrolet Online

 

As you can see, above is an illustration of how much your Chevrolet model could lose value over the course of ownership and how important a Vehicle Replacement Insurance policy could be for your Chevrolet.

Shortfall Return to Invoice Gap Insurance for your ChevroletChevrolet Return to Invoice Gap Insurance at Shortfall

 

What Can Return to Invoice Shortfall Insurance Do For Your Chevrolet?

 

Return to Invoice Gap Insurance is one of the most basic, but popular levels of Shortfall Insurance.

 

The rational behind the policy is all in its name as if in the unfortunate case your Chevrolet is written off or stolen, you will simply be returned back to the invoice price you originally paid for your Chevrolet.

 

After you are paid the market value of your Chevrolet by your comprehensive insurer, you will be financial unable to purchase another Chevrolet, given that in most cases, you will only have an estimated half of the originial invoice price at your disposal.

 

Return to Invoice Shortfall Insurance will in theory top you back up to the original invoice price you paid and place you in the position, depending on however you paid for your Chevrolet, where you can pay off any outstanding finance or to purchase another Chevrolet, if you so wish.

 

Below you will find that we have designed a real life situation with the aim to assist you with your understanding of how Return to Invoice Gap Insurance can protect you and your Chevrolet:

 

Georgia purchase a Chevrolet Aveo for £10,000

 

Three years later, she is involved in a motoring accident that thankfully leaves her and the other driver involved unhurt, but her Chevrolet is written off

 

Georgia receives a settlement payment of £5,000 from her comprehensive insurer, because this was the market value of her Chevrolet Aveo at the time it was written off

 

Please take note of this significant depreciation, no vehicle is immune to the levels of depreciation

 

Georgia now has a Gap of £5,000

 

If Georgia was paying for her Chevrolet through a finance agreement, Georgia needs this £5,000 to pay off all outstanding debt

 

If Georgia paid for her Chevrolet by cash, Georgia needs this additional £5,000 to purchase another Chevrolet

 

Return to Invoice Shortfall Insurance will pay Georgia this £5,000 and return her to the original invoice price she paid for her Chevrolet.

Chevrolet Return to Invoice Gap Insurance at Shortfall

Shortfall Finance and Contract Hire Gap Insurance for your ChevroletChevrolet Finance Gap Insurance at Shortfall

 

What level of cover can Finance and Contract Hire Shortfall Insurance provide to your Chevrolet?

 

Finance and Contract Hire Shortfall Insurance is designed to protect any driver, who has taken out a form of finance agreement to purchase a Chevrolet.

 

As you may be aware of, if in the unfortunate case your Chevrolet is written off, you will receive a settlement payment from your comprehensive insurer.

 

However, this may not be enough to clear all of your remaining payments in your finance agreement, leaving you responsible for any outstanding balance of the finance agreement.

 

This can have a significant impact to your finances.

 

Finance and Contract Hire Shortfall Insurance will thus protect you against this finance agreement and allow you to walk away without any financial liabilities.

 

Please see the below example that we have designed in order to aid your understanding:

 

Georgia takes out a three year finance agreement

 

It involves set monthly payments of £300

 

Two years later, Georgia is involved in a motoring accident that unfortunately writes off her Chevrolet

 

Georgia has already paid two years of this agreement, which totals £7,200 (24 months x £300)

 

Georgia receives £5,000 from her comprehensive insurer in the form of a settlement payment

 

This means that there is still a outstanding balance of £2,200 on Georgia's finance agreement which she is still legally liable to pay

 

We have dealt with previous customers who have been asked to pay up to 90% of the outstanding payments back within a time frame set by the finance agreement company

 

Contract Hire/Finance Gap will pay this outstanding £2,200 and clear all financial liabilities that occurred under Georgia's name, allowing her to walk away from the agreement a free lady.

How much will your Chevrolet be worth in four years time?Chevrolet Depreciation at Shortfall

Industry experts say that the average vehicle can depreciate by up to 50% in the first three years, and it is important to note that your Chevrolet is not immune from this.

 

We at Shortfall.co.uk understand that no driver wants to hear this, given that you have just paid a considerable amount for your finances. However, if you do not have a true understanding of Chevrolet depreciation, you can not really understand just how important gap insurance could be. (Figures taken from What Car)

 

Below we have listed some examples which we hope will help your understanding.

 

Example 1 –

Chevrolet Cruze Hatchback 1.6 124 LT 5dr

 

Invoice price you paid - £15,670

Year 1 – £7,230

Year 2 – £5,942

Year 3 – £4,880 – You will see that within the first three years, your Chevrolet Cruze has lost £10,790

Year 4 – £4,171 – You will see that within the first four years, your Chevrolet Cruze has lost £11,499

 

Example 2 –

Chevrolet Captiva 4x4 2.2 VCDi 184 LT 7st AWD 5dr

 

Invoice price you paid - £28,695

Year 1 – £13,702

Year 2 – £11,269

Year 3 – £9,248 – You will see that within the first three years, your Chevrolet Captiva has lost £19,447

Year 4 – £7,926 – You will see that within the first four years, your Chevrolet Captiva has lost £20,769

 

Example 3 –

Chevrolet Camaro Convertible 6.2 V8 405 Auto 2dr

 

Invoice price you paid - £41,820

Year 1 – £26,146

Year 2 – £21,692

Year 3 – £18,041– You will see that within the first three years, your Chevrolet Camaro has lost £23,779

Year 4 – £15,637– You will see that within the first four years, your Chevrolet Camaro has lost £26,183

 

Example 4 –

Chevrolet Aveo Hatchback 1.2 LS 5dr

 

Invoice price you paid - £10,535

Year 1 – £4,878

Year 2 – £4,023

Year 3 – £3,293 – You will see that within the first three years, your Chevrolet Aveo has lost £7,242

Year 4 – £2,816 – You will see that within the first four years, your Chevrolet Aveo has lost £7,719

 

Example 5 –

Chevrolet Orlando MPV 1.8 LS 5dr

 

Invoice price you paid - £17,620

Year 1 – £7,451

Year 2 – £6,126

Year 3 – £5,027– You will see that within the first three years, your Chevrolet Orlando has lost £12,593

Year 4 – £4,301– You will see that within the first four years, your Chevrolet Orlando has lost £13,319

Recent Chevrolet News at ShortfallRecent Chevrolet News at Shortfall

 

Cheverolet announce that the new Corvette Stingray will receive the new eight speed automatic transmission.

 

New record breaking Chevrolet Corvette collection unveiled.

 

 

 

 

 

 

 

 

Shortfall Watermark

Chevrolet is an American automobile brand, manufactured by General Motors. Chevrolet at Shortfall

 

Chevrolet was founded in 1911 by Louis Chevrolet, a successful, mainstream Swiss racing driver and William Durant, a former employee of General Motors (who was sacked) and a well known entrepreneur.

 

After Durant left General Motors, he worked for Buick Motor Company, where he hired Louis to sponsor its vehicles. Durrant had always possessed a dream to set up his own automobile company and in partnership with Louis, the two formed the Chevrolet Motor Car Company.

 

The first Chevrolet car was the Series C Classic Six model in 1912 which enjoyed great success. However because of disagreements between the two founders, Louis sold his stake in the company to Durrant. The company would later merged with General Motors and Durrant would re-joined as the company’s president.

 

The company’s main aim was to provide an alternative to the very popular Ford Model T. It succeeded in this aim as it was the leading number one car manufacturer for 40 years straight from 1936 and 1976.

 

The company’s most successful markets are in the United States, Brazil, China, Russia, Mexico, Canada, Argentina, Uzbekistan, India and Colombia.

 

General Motors was seriously affected by the 2008 financial crisis and it was bailed out by the US government. It is currently successfully recovering with sales to near pre-crash levels.

 

In 2007, General Motors allowed the Chevrolet brand name to be adopted into a line of Swiss watches in memory of its founding Swiss brother. 

 

Chevrolet is Manchester United’s and Liverpool’s Football Clubs main club sponsors. In 2010, one Chevrolet was bought every seven seconds across the world and is responsible for one of every sixteen cars on the world’s roads today.

 

The company currently has a total worldwide work force of 2.95 million.

 

The current product portfolio consists of the following successful models: Spark, Aveo, Cruze Saloon, Cruze Hatchback, Cruze Station Wagon, Trax, Orlando, Captiva, Volt, Camaro and Corvette.