Can anyone recommend GAP insurance on lease car?

[bobbersmill]

Hi, can anyone recomend a GAP insurance provider to cover a leased car?
Thanks.

 

[Berkshire Rich]

Usually the best value is via the option suggested by the lease finance co, or the supplying dealer. 3rd party options are a mystery to me, sorry, as I have always taken the offer at the time of taking the car. In the past I have paid a one off £250 payment, for a 3 year lease on a £30k car (from memory, this was via HBOS)

 

[moff]

Hi, can anyone recomend a GAP insurance provider to cover a leased car?
Thanks.

No point doing for the first year in my opinion as most insurers will replace with a new car.

Years 2+ it could be worthwhile though.... still not decided myself.

 

[bobbersmill]

Thanks, sorted now.

 

[MarriedBlonde]

For the first time I took it out as I think this car is the one I most likely bin or is stolen.

The dealer offered it to me for £750, I say offered my salesman said it was £750 but said he would ask what deal they could offer on it. He came back at £250 so I took it, I know I could have got it a bit cheaper else where but kinda thought all in one place would make a claim easier.

J.

 

[Dryce]

No point doing for the first year in my opinion as most insurers will replace with a new car.

Years 2+ it could be worthwhile though.... still not decided myself.

If you have no option to own the car at the end of the lease period then the insurance company may explicitly exclude the new car replacement option in the policy.

(My understanding is that the OP was looking at contract hire)

 

[Dryce]

kinda thought all in one place would make a claim easier.

That's what they like you to think.

But many of these additional products are simply third party products sold on via the dealer - they have no relationship with the company providing the vehicle finance or your insurer or the manufacturer.

 

[RichardM]

I know you said it is sorted now but GAP Insurance for car, van & motorcycle | Get a quote and buy online | ALA.co.uk offer cover for lease cars. I've used them several times and the customer service is excellent (I haven't had to claim though). On my current car the undercut the supplying dealer by hundreds of pounds and the dealer didn't even try and match it.

 

[Colin_b]

I know you said it is sorted now but GAP Insurance for car, van & motorcycle | Get a quote and buy online | ALA.co.uk offer cover for lease cars. I've used them several times and the customer service is excellent (I haven't had to claim though). On my current car the undercut the supplying dealer by hundreds of pounds and the dealer didn't even try and match it.

I've used them for my current car, the quote was much less than the dealers, and painless to do via t'internet. No experience of claims, though

 

[jazzmonst]

Used Ala for my last three times, each time was much cheaper than the dealer offered GAP insurance. Like the other posters I haven't had to claim but found their website easy to understand for what I needed and quick to apply

 

[Dryce]

No experience of claims, though

The fear sell on these deals is that the customer is exposed to the entire cost of the monthly payments over the contract period.

The reality is that the deal looks one sided but in order to be entitled to these payments the fnance company is supposed to be providing you with car. And that's often overlooked. Both parties have obligations. The deal is one sided to protect their exposure - they supply you with major capital asset and they are committed to finance it over the period - in return for your payments.

If part way through they get their money back on the outstanding value of the car after a total loss then they don't really want to go to the hassle of supplying you with a new one (or trying to source a suitable equivalent to what they originally supplied) for the remainder of the contract. If the customer forced them to do that they could lose out badly. So cancelling the agreement once the insurance is settles is the logical norm.

So I wonder how many claims are actually made on these insurance policies by customers who buy them to cover a lease or contract hire.

(And yes. I'll stick up my hand and say I bought one at £129. Read my insurance policy and the contract hire policy and decided that while the risks were very low that at £50/year over the period covered that I'd cover myself just in case I ended up stuck in the middle between the finance company and the insurer).

 

[bobbersmill]

Ala are the people I chose to use as well. For the sale of 138.00 it seems like piece of mind but it also grates that this is not part of my main insurance cover.

 

[Surinderrehal]

Recommended but via Internet can pick up at 3rd of price of that from main dealers

 

[Surinderrehal]

Just purchased a 2year old Class C with lingatronic on the command..how does this work and any tips. Also ant recommendations to have MB extras fitted now

 

[Colin_b]

The fear sell on these deals is that the customer is exposed to the entire cost of the monthly payments over the contract period.

The reality is that the deal looks one sided but in order to be entitled to these payments the fnance company is supposed to be providing you with car. And that's often overlooked. Both parties have obligations. The deal is one sided to protect their exposure - they supply you with major capital asset and they are committed to finance it over the period - in return for your payments.

If part way through they get their money back on the outstanding value of the car after a total loss then they don't really want to go to the hassle of supplying you with a new one (or trying to source a suitable equivalent to what they originally supplied) for the remainder of the contract. If the customer forced them to do that they could lose out badly. So cancelling the agreement once the insurance is settles is the logical norm.

So I wonder how many claims are actually made on these insurance policies by customers who buy them to cover a lease or contract hire.

(And yes. I'll stick up my hand and say I bought one at £129. Read my insurance policy and the contract hire policy and decided that while the risks were very low that at £50/year over the period covered that I'd cover myself just in case I ended up stuck in the middle between the finance company and the insurer).

Valid point for a simple lease car. I plant to keep the option of purchasing the car at the end of the period (2 years), so took the 5 year GAP option. It was about £110 more than 2 years, so seemed a reasonable deal if I did purchase the car.