cheers bud sounds like a good idea to take some gap ins out......thx for the reply robbieZippy said:Hi journeyman,
I can't answer your first question but gap insurance is an extra insurance policy, in addition to your fully comp cover, which covers the difference between the original price you pay for a new car and the market value of the car.
As soon as you drive off the dealers forecourt, the car starts to depreciate and if you were to have an accident or theft that results in a write-off claim, the fully comp. insurance company would only pay you the current market value, the gap insurance will then top-up your claim to the original price so you can buy the same car again without loss.
I have taken out gap insurance with the dealer themselves (it doesn't have to be with your fully comp. insurer). it covers the first 3 years of ownership, so obviously becomes more valuable as the time goes by.