Worth renewing GAP?

Statto1927 · Post by **Statto1927** » Thu Mar 26, 2020 9:42 am

General question about renewing GAP.
My wife has ALA GAP on her Fiesta (I sorted it for her after getting mine for my Tig). Her policy is due to run out in June nd she's just got an email offering a renewal. Her Fiesta is now 3 years old. Is there any value in renewing?
Thanks

John27 · Post by **John27** » Thu Mar 26, 2020 3:28 pm

I guess it depends on coverage and price? If your wife is being offered the same cover e.g. back to original invoice price over say a further 2 or 3 years for a couple of hundred pounds or so, it is almost certainly worth doing.

However, as time passes, the gap insurer's risk increases. Cars depreciate and so the older they are, the more likely they will be found to be a total loss in the event of even a seemingly minor accident. This therefore can increase the financial risk to gap insurers (as the main insurer is only going to pay market value of the car) if your wife were ever to make a claim. I would therefore expect they will offer either inferior cover to what she has now or a higher renewal price and so it is important to check this in any renewal offer.

It's then down to your wife to decide whether this is worth renewing. Good luck

Statto1927 · Post by **Statto1927** » Thu Mar 26, 2020 8:43 pm

Thanks John
That's sort of where my head was, so reinforced that. Best I check the small print.....
Just wondered if anyone had any experience of renewing a policy and what their take was.
Thanks again