The Asset Secure® GAP Insurance Difference

The real-life example below explains the value gap between Asset Secure® polices and those that carry “market-value”, “insured-value” and other similar claim reduction clauses.
In this example, the original net purchase price of the car is £20,000.
The motor insurance settlement is £12,000 and the corresponding GAP claim is therefore £8,000, the difference between the two figures.
 

The small print checklist

If your current GAP policy includes any of these commonly used claim reduction terms:

  • Market-value
  • Insured-value
  • Pre-accident damage
  • Pre-approval of motor insurance settlement
  • Access to keys

Please contact us, and we will be happy to conduct a policy audit and advise you of the true limitations of the policies that you sell. out, Asset Secure® pay out.

However, the many policies that contain “Market-Value” clauses reduce the amount paid to the customer by instead of paying the £8,000, they pay the lower difference between the higher “Market-Value” of the vehicle as determined by Glass's Guide Retail and the original purchase price. In this example, the “Market-Value” for this vehicle is £14,000 and it is this that these policies base their claim, paying the lower GAP settlement of £6,000 leaving the customer with a £2,000 shortfall.

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