Volkswagen Tiguan MK2 Forum banner

Loving my new R-Line but unsure if I need GAP

12K views 20 replies 14 participants last post by  DAN@ADRIAN FLUX 
#1 ·
Hi all, I picked up my new R-Line 2 months ago and am so pleased with it.

I was unsure if the 1.5 TSI would be powerful enough but it's great and the fuel economy is good too!

Anyway, the one thing I haven't done yet and I can't seem to get much clarity on if I actually need it or not is the GAP insurance.

I bought on PCP with only a small deposit (there was a significant discount though) and I am insured through Direct Line

It looks like Direct Line will replace the vehicle if it was written off but I can't get an answer on what they would do if I wanted a cash settlement

Have any/most of you got GAP insurance? If so how long and how much cover did you go for?

Cheers

Nick
 
G
#2 ·
One thing to check is if you bought a standard R-Line, or if you configured a factory build with your choice of extras added.

I'm told that when car insurance companies offer a replacement should it get stolen or written off in the first year, in fact they only provide you with the standard off-the-shelf vehicle rather than matching your factory build.
 
#3 ·
Direct line provide a like for like replacement in the first 12 months if repair is more than 60% of value. Not sure how well you'd fare if looking for cash

There are GAP polices for sale elsewhere on this site that you can start from year 2 onwards
 
#4 ·
Most, but not all, insurance companies will replace the car within the first 12 months in the event of a total loss. I am not sure if they will do a cash settlement though.

On gap insurance, for its cost, it is in my opinion worth having. I have just taken out a three year policy (to cover years 2- 4 inc) for £240 with ALA. However, there are different types of gap insurance. For example, I have cover for back to the invoice price but you can get cover to take you back to the replacement cost (which allows for price rises) but if you want this higher cover, with ALA, you do need to take the policy out within 90 days of getting the car (the rules might be different for other insurers).

Different insurers have offers and there can be differences in prices for similar cover (there are lots of discount codes around as well - I got 25% discount on mine). There are also other policies for difference levels of cover and for those who buy on finance and lease etc. I am sure, other members of the forum can make recommendations but it is worth ensuring you get the coverage you want and that you take the policy out at the right time. For that reason, it is worth looking now and deciding what you want to do.
 
#5 ·
Hi, thanks for the replies....

The R-Line was a standard spec (I didn't add anything) but the bit I can't quite figure out is what happens in the event of a loss...

Some of you have cover for years 2-4 etc but if the insurer replaces the car in year 1 in the event of a loss then that is not much help as VW would still require their money??

This is all so confusing!
 
#9 ·
rcgbob44 said:
Personally I would never buy an R line with such a small engine and from what I've seen on various sale sites, they do not retain their resale value as much as the larger engined models.
Evidence from the majority of valuation services is suggesting that all diesel car residual values are gradually falling, not collapsing, but still falling, regardless of engine size.

The major reason for people using diesel is for higher mileage drivers the fuel costs can be significantly better than petrol, and for lower mileage drivers, diesel is probably not a viable alternative due to possible DPF problems. Whether this cost saving by using diesel balances the loss of residual cost will be dependant on individual's circumstances, whether it's an outright purchase, or a company lease etc.

Diesel cars are a long way from disappearing from our roads for the time being!

Steve
 
#10 ·
rcgbob44 said:
Personally I would never buy an R line with such a small engine
Why not?. The 1.5 TSI gets lots of great reviews and puts out 150PS - which is exactly the same as your diesel.

Engine size is irrelevant to me, as long as it does the job it is intended for what more can you ask.
 
#12 ·
Yes, my brother in law claimed on gap
 
#13 ·
I'm also with Direct Line so decided I'd rely on their "new replacement if written off in the first 12 months" cover. However I did buy Gap insurance through ALA just before 6 months for a 3 year period to take me up to 3.5 years (my PCP is 4 years).

It's a low cost for extra peace of mind. Look on MoneySavingExpert for discount codes before you buy.

And obviously don't bother with the offers for GAP from VW dealers - you can get cover far cheaper if you buy it direct.
 
#14 ·
KBEE said:
It's a low cost for extra peace of mind. Look on MoneySavingExpert for discount codes before you buy.

And obviously don't bother with the offers for GAP from VW dealers - you can get cover far cheaper if you buy it direct.
Absolutely agree.
 
#15 ·
KBEE said:
I'm also with Direct Line so decided I'd rely on their "new replacement if written off in the first 12 months" cover. However I did buy Gap insurance through ALA just before 6 months for a 3 year period to take me up to 3.5 years (my PCP is 4 years).

It's a low cost for extra peace of mind. Look on MoneySavingExpert for discount codes before you buy.

And obviously don't bother with the offers for GAP from VW dealers - you can get cover far cheaper if you buy it direct.
How does this work with VW Finance...I was told the finance is on the specific vehicle so if it is written off then they would need settlement and wouldn't accept the replacement....or was this information wrong??
 
#16 ·
Replacement vehicle just means they will pay you the difference between the ins payout and what it would cost to put you back in the exact same car. The finance on the old one is settled and you would order again.

Return to invoice means they will pay the difference between the ins payout and what you originally paid (so this doesn't cover getting you back in the same car if the price has gone up).
 
#17 ·
Nickosbad said:
KBEE said:
I'm also with Direct Line so decided I'd rely on their "new replacement if written off in the first 12 months" cover. However I did buy Gap insurance through ALA just before 6 months for a 3 year period to take me up to 3.5 years (my PCP is 4 years).

It's a low cost for extra peace of mind. Look on MoneySavingExpert for discount codes before you buy.

And obviously don't bother with the offers for GAP from VW dealers - you can get cover far cheaper if you buy it direct.
How does this work with VW Finance...I was told the finance is on the specific vehicle so if it is written off then they would need settlement and wouldn't accept the replacement....or was this information wrong??
If you've got Finance, GAP is (arguably) even more important, as it will bridge the "gap" between what your insurance might pay out if your car is written off, and the balance of what you owe on finance.

It's best not to think about the car itself - if the car is a write off, it's gone. What you then need to worry about is settling what you owe and then -hopefully- having enough cash for a deposit on a replacement car and then starting a new finance deal on that.

I assume with Direct Line's replacement car in the first 12 months, they sort out the finance side for you. I've not had to use it (thankfully!) so not 100% sure.

The main thing you can be sure of, one way or another you'll still have to pay for the car!
 
#19 ·
Personally I think GAP insurance is a rip off.

Your car is already insured. And should you lose money due to an ageing car losing value, then so be it. That's the nature of the beast. Whether you have outstanding finance or not makes no difference.

I guarantee that over a lifetime you will spend more on GAP insurance than you would lose on a write off.

Personally, I think you should only insure what you can't afford to lose/cover ie house, car, travel medical bills etc.
 
#20 ·
PokeItWithAStick said:
Personally I think GAP insurance is a rip off.

Your car is already insured. And should you lose money due to an ageing car losing value, then so be it. That's the nature of the beast. Whether you have outstanding finance or not makes no difference.

I guarantee that over a lifetime you will spend more on GAP insurance than you would lose on a write off.

Personally, I think you should only insure what you can't afford to lose/cover ie house, car, travel medical bills etc.
Like all such things, this is a personal choice. I expect my Tig (in a normal market but we live in unusual times) to lose about 30% in depreciation over 3 years based upon my previous Mk2 Tig (difference between what I paid new and trade-in obtained). That is in the region of £10k. My gap insurance was only £240 for coverage up to 4 years (first year is covered by my main insurer so gap only covers years 2-4). So assume a total loss in year 3, that £240 policy will be worth about £10k to me. I accept it is unlikely that I will suffer a total loss and never claim but it is piece of mind and reassures me I can get back into another Tig (if that is what I want).
 
This is an older thread, you may not receive a response, and could be reviving an old thread. Please consider creating a new thread.
Top