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Did you buy your car using finance? Here's why GAP Insurance is essential. Plus, get 12.5% off!

By Tom Gibson | June 9, 2022

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Why GAP Insurance is essential for every driver who bought their car using finance. And get your exclusive GAP Insurance discount

Did you buy your car using finance? Here's why GAP Insurance is essential. Plus, get 12.5% off!

Regit has teamed up with MotorEasy to offer all of our readers 12.5% off a GAP Insurance policy – which is particularly useful for those who have paid for their cars in a finance agreement.

What is GAP Insurance?

GAP insurance (Guaranteed Asset Protection) protects you against financial loss if your vehicle has been declared a total loss or write off by your insurer. It covers the difference between the amount you owe on your car if you have finance and the amount your insurance company pays you back if written-off or stolen.

Why would I need it?

If you’re unlucky enough to have your car written-off, your main insurer’s settlement will be based on the current market value of your vehicle at the time of write-off.

This level can often be far less than the price you paid for the vehicle, especially if you purchased through a finance or lease agreement, with early-release and interest payments agreed over an extended period of time.

The level of pay-out from your main insurer is also likely to be less than the vehicle’s purchase price, thanks to the natural depreciation that all cars face as soon as they leave the dealer’s forecourt.

On average a vehicle can depreciate by as much as 60% over its first three years.

GAP Insurance will mean you won’t face a huge bill should you have an accident or if your car is stolen.

Claim your summer offer from MotorEasy here, which is currently offering 12.5% off all policies.

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