GAP Insurance

[Farky]

Hi All,

Haven just bought a new TA700 for the 2nd time - I thought I might take the GAP insurance this time around as ive not got such a high deposit v purchase price balance as before.

Dealer finance company called with the usual courtisy cal blah trying to sell me life insurance etc and one was Gap insurance - no choice - 4 years cover totalling over £300 with interest free payments for 4 years.....

HELL NO - I said - I dont need GAP insurance in 2 years do I?

Am I wrong...surely the GAP is between value and Finance balance?

In 2 years I will have way over half the credit payed off and well below the value of the bike in used condition on credit so no GAP left. The only issue being the value estimations of the insurer vs mine but a 2 year old TA with 20k on the clock is gotta be worth £3.5k.

Anyone know of a reason I need GAP insurance formore than 2 years?

Are these guys cheating everyone????

I wasnt given an option for the Term of 4 years but thought it sounded expensive.....£7.50 a month or not.

Just got a quote online for 2 years at £120!

[ian porter]

from my experience GAP insurance makes up the short fall between an insurance pay out and the PURCHASE PRICE.

[racinghero55]

Correct, basically gap insurance makes sure that should your bike/car be written off or stolen and not recovered and your insurance company pays out, the gap insurance pays you out the additional amount so you have the full purchase price back on your hands to go buy a replacement. Gap insurance is great value!