Future Retirement Success
  • Politics
  • Business
  • Investing
  • Stocks
  • Politics
  • Business
  • Investing
  • Stocks

Future Retirement Success

Business

Gap Insurance Explained

by November 30, 2022
November 30, 2022
Gap Insurance Explained

It is a worrying time for motorists with just about everything becoming more expensive. The cost of new and used cars, insurance, fuel and maintenance are all rising, which are even harder to manage when you consider the overall cost of living crisis that is gripping the UK.

In situations like this, you want to make sure that you have financial protection in place and one of the best ways to do this is with gap insurance.

Gap Insurance Overview

So, what is gap insurance exactly? Essentially, this is an optional type of insurance that offers financial protection for motorists after a write-off. In a write-off, motorists would only receive the current market value for their vehicle as a payout. Due to depreciation, this can be thousands of pounds less than what was originally paid for the vehicle or left outstanding on a finance agreement.

With gap insurance, this shortfall is covered so that a motorist can afford a replacement or pay off the amount outstanding on the finance agreement. Keep in mind that cars lose around a third of their value after the first year and over half of their value after three years, so this could leave a motorist short by an enormous amount.

Who Will Benefit the Most?

Gap insurance is a type of coverage that every motorist should consider, but there are some people that it is particularly useful for. These are those that have purchased a new car as they stand to lose the most in the event of a write-off, especially if it was a high-value automobile. It is also a good idea if you have paid for the car on finance so that you do not end up owing the creditor money for a car that no longer exists – this could strain your finances and make it hard to find a new car.

Is it Worth it?

Many will wonder if gap insurance is worth it because it is another expense to manage. You only need to consider the number of accidents on the roads each day to see why it might be worthwhile and many people end up in a write-off without doing anything wrong. Additionally, cars are declared written off when they are stolen and never recovered and car crime is a growing problem in the UK.

It is undependable that many motorists are stressed about money right now with costs so high. Although it is another cost, gap insurance could end up saving you a fortune and it is a type of insurance that should be considered. Accidents are common in the UK and car crime is on the rise, so it is important to have financial protection and reassurance in the form of gap insurance.

Read more:
Gap Insurance Explained

0
FacebookTwitterGoogle +Pinterest
previous post
Joe Biden: “It’s Gonna Take Time to Get Inflation Back to Normal Levels” (VIDEO)
next post
Cloudbooking report: Only 11% of Gen Z workers want to work remotely full time

You may also like

British households £160 worse off in July than...

August 26, 2022

Water company boss blames people working from home...

June 25, 2023

Nearly 50,000 UK businesses on ‘brink of collapse’,...

January 22, 2024

Fall in mortgage borrowing after mini-budget turmoil

November 29, 2022

Bus fares in England to be capped at...

September 6, 2022

Halifax joins other lenders in cutting mortgage rates

August 10, 2023

The Modern Man’s Guide to Grooming: Why Male...

May 11, 2024

HMRC Gives Businesses Extra Week to Prepare for...

July 20, 2023

UK employers determined to keep hiring in battle...

January 16, 2023

Rishi Sunak set to make history as Boris...

October 24, 2022

    Get free access to all of the retirement secrets and income strategies from our experts! or Join The Exclusive Subscription Today And Get the Premium Articles Acess for Free

    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Recent Posts

    • Trump warns of ‘serious consequences’ if Elon Musk funds Democrats

      June 7, 2025
    • Musk jokes about reconsidering stance on Big Beautiful Bill after Schiff’s praise

      June 7, 2025
    • Musk deletes explosive posts about Trump and Epstein files

      June 7, 2025
    • House witness flips script on Dem who ambushed him during hearing with unearthed tweet: ‘Iceberg is ahead’

      June 7, 2025
    • Call with China’s Xi, and Trump-Musk exchange fueled barbs during 20th week in office

      June 7, 2025
    • Trump’s conservative allies warn Congress faces critical ‘test’ with $9.4B spending cut proposal

      June 7, 2025

    Categories

    • Business (8,152)
    • Investing (2,019)
    • Politics (15,568)
    • Stocks (3,136)
    • About us
    • Privacy Policy
    • Terms & Conditions

    Disclaimer: futureretirementsuccess.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2025 futureretirementsuccess.com | All Rights Reserved