It is more than likely that during the process of buying your Volkswagen model, you will have been introduced to Gap Insurance. Following that introduction, you have decided to further your knowledge by researching Gap Insurance online. It is also highly likely that you will have been offered a form of Gap Insurance at a standard price of £395, which is the average price for a dealership quote across the U.K. You may now be wondering why Gap Insurance is less expensive online.
We at Shortfall are proud to state that our prices are checked on a daily basis and wish to reiterate that there is no compromise on the level of cover or the features of our policies and simply that the price difference is due to other external factors.
One reason your dealership may be more expensive is that a dealership will have to charge a higher rate of insurance premium tax. The other is that Shortfall is part of one of the largest independent Gap Insurance retail groups within the U.K. We can reduce prices due to the level of custom we receive compared to a dealership.
As you may know, there are three forms of Gap Insurance for you to choose from, all of which have different capabilities and ways of protecting you and your Volkswagen. The first of which is Finance and Contract Hire Gap Insurance. This form of Gap Insurance will cover the financial Shortfall, the difference between your motor insurance companies offer for your Volkswagen on the day it was written off or stolen and the outstanding finance you have remaining on the vehicle.
The second form of Gap Insurance for you is Return to Invoice Gap Insurance. Return to Invoice Gap Insurance will cover the difference between your motor insurance companies settlement for your Volkswagen on the day it was written off or stolen and the original invoice price you paid for your V.W. model.
The last form of Gap Insurance for you to consider is Vehicle Replacement Insurance. Vehicle Replacement Insurance will cover the difference between your motor insurance companies offer and the average cost to replace the vehicle with the same make, model and specification as yours was on the day of purchase.
Due to market value depreciation. If you were to write your Volkswagen model off three years after purchase, then any settlement you receive could be a fraction of the price you paid. This is because your Comprehensive Motor Insurer are only ever legally obligated to pay the market value of your Volkswagen on the day it was written off. Market Trade experts have actively predicted that the average vehicle will lose up to half its original value within the first three years.
Yes, gap insurance is an optional policy, but it is worth the risk of not having it?
Shortfall Gap insurance is not available for Volswagen R models (except for R Line)