GAP Insurance?

[Fatmas]

A fair few of you remember my previous post:

 

http://www.edugeek.net/forums/general-chat/75941-car-advice-needed.html

 

We are picking up our lovely 207 1.6HDI 92 Sport on Saturday, it's a '60 plate so was only registered in September. It's currently worth £10895

 

The Peugeot dealer has tried selling me GAP insurance for £399 and claims that it is worth it because if the car is written off at any point, I receive the book value (in theory, £10895) of the car rather than the current price at the time of loss.

 

I've gone on Click4Gap (Compare the market) and can get a 4 year policy where I can claim up to £5000 (Which is fine as long as the car is worth over £5k at the time of loss) for £229. Seems like a good deal. But what I'm really asking is, is it worth it at all?

 

Many thanks to everyone who gave their car recommendations the other week, I test drove the 207 last Saturday and it was brilliant; it's quick, comfortable, economical, has all the gadgets and is under warranty until September 2013. Bargain.

 

I'm hoping the petrol heads on here will have some more sound advice!

Edited June 2, 2011 by Fatmas

[Rawns]

I took out gap insurance when I had my first car, a Peugeot 106. It was around £300 for 3 years of GAP cover, and I'm glad I did take it out as I was involved in an accident (brought the M5 southbound by Bristol to a halt for 10 minutes! ) and the car was borderline write off in my third year of owning it. I got about 4k from my car insurance, and the GAP insurance topped it up to the full value (minus a £500 access that was slyly hidden in the T's & C's).

[john]

Just got a new car myself and was offered GAP Insurance was unsure if to bother or not as it adds so much more cost, then again Ferraris are rather expensive (Ok I didn't get a Ferrari just felt like it at the pump filling the tank up!)

[garethEds]

We took it on our Kuga but didn't take it on our Fiesta.

 

We pay it interest free over two years but it covers us for three. I change the cars every three years so it suits.

 

Is it worth it? Well as one poster has said - it paid off for him. However after three years of no accident it could be seen as a waste of money. It's a tough decision.

 

Gareth

[john]

We took it on our Kuga but didn't take it on our Fiesta.

 

We pay it interest free over two years but it covers us for three. I change the cars every three years so it suits.

 

Is it worth it? Well as one poster has said - it paid off for him. However after three years of no accident it could be seen as a waste of money. It's a tough decision.

 

Gareth

 

Must admit just a quick google around its not that costly to say my new car is rather costly and very new maybe worth buying.

[sted]

its like any insurance its a gamble. If all goes well its money down the drain if things go to pot its a good backup plan

[mac_shinobi]

Much rather have it and not need it, then need it and not have it

 

Especially if I was spending more then 1,000 on a car , £300 in the grand scheme of things for 3 years is nothing in comparison to 10k £££

 

That works out aprox £100 per year, Less then £10 per month

[Arthur]

I bought GAP insurance for my first car (a Mini One). However, I made the mistake of buying it through the dealer. If I bought it through a third-party I could have easily saved myself £100-£200.