Frequently Asked Questions
What can EasyGap provide GAP Insurance cover for?
- LCV's under 3500kg
- Motorhomes under 5000kg
- Taxi/Private Hire/Minicabs (not Black Cabs)
- Driving School vehicles
EasyGap can also provide the following products (eligible vehicles)
- Tyre and Alloy Wheel Insurance (cars only)
- Tyre Insurance (cars only)
- SMARTCARE Cosmetic Insurance (cars only)
- Motor Excess Insurance (cars and motorbikes)
Eligible products can be purchased individually, so there is no requirement for you to purchase a GAP Insurance policy from us in order to buy an additional product.
When can you buy GAP Insurance?
GAP Insurance is normally available within a short time frame of buying, or leasing, your vehicle. EasyGap Combined Return to Invoice Gap and Lease/Contract Hire Gap must be purchased within 180 days of the vehicle purchase, or the start of the lease.
What does 'written off' mean?
The phrase 'written off' as a total loss means that your motor insurer deems your vehicle beyond economic repair, or that it has been stolen and not recovered. Instead of repairing or replacing your vehicle the motor insurer makes a settlement to you of the market value of the vehicle, at the time you claim.
Why do cars depreciate in value?
You will often hear that a brand new car loses value as soon as it leaves the garage forecourt. This initial depreciation can be, in large part, attributed to the VAT charged on a new vehicle. This value is lost immediately as soon as you turn on the key. Vehicles will continue to lose value as you cover more miles, the condition deteriorates and the manufacturers warranty runs down.
Do I need Gap Insurance if I have new car replacement with my motor insurer in year one?
You can find that some motor insurance policies will, in your first year of ownership and providing certain criteria are met, provide you with a brand new replacement vehicle if your vehicle is declared a 'write off' in year one.
However, there can be a number of reasons why you may not meet the criteria required to qualify for this. Often you will need to be the first registered keeper for the vehicle, so 'pre-reg' vehicles may not qualify. Also, the insurer may have a set time frame within which they must be able to supply the replacement vehicle. A 3-month wait for a 'factory order' may not qualify. If the plan 'b' for your motor insurer is to settle at the market value then having GAP Insurance also can make up the difference.
You must also remember you can only buy GAP Insurance within a set time-frame of buying the vehicle. With EasyGap this is the first 180 days. If you wait a year from the time you purchase your car then you may struggle to find suitable GAP Insurance for further years.
Do I have to buy GAP Insurance from the motor dealer?
No. Often the first time you will be told about GAP Insurance will be by the dealer who sells you the vehicle. The decision on whether you buy GAP Insurance from the dealer, or from an independent provider like EasyGap is entirely up to you.
Why is GAP Insurance more expensive at motor dealers?
Well know media names like Martin Lewis at MoneySavingExpert and Which? have long-standing GAP Insurance reviews highlighting that you will expect to pay much more for GAP Insurance at the motor dealer than at the likes of EasyGap. There are a number of reasons for this, and a dilution of cover is not one of them.
Insurance products at Motor Dealers attract a higher rate of Insurance Premium Tax (20% as of January 2020) than the standard rate you pay at independent brands like EasyGap (12% currently).
Commission structures, longer supply chains and volume of business can all be contributing factors as to why GAP Insurance is much more expensive at motor dealers also.
Who underwrites the EasyGap products?
The insurer who underwrites the EasyGap products from January 2020 is Acasta European Insurance Company Ltd. Acasta is well known in the GAP Insurance field in the UK, both with independent providers like EasyGap as well as underwriting GAP Insurance for one of the best known prestige car manufacturers in the UK market.
All claims are handled by Spectrum Insurance Services Ltd, based in Sheffield.
Products are backed by the Financial Services Compensation Scheme in the UK also.