Let’s say that you paid £20,000 for your car. However, at the point where it was declared a total loss, its value had depreciated over time to £10,000. That is the sum that you will receive from your motor insurance company, leaving you £10,000 short of your original investment – a substantial amount by most people’s standards. But by taking out a return to invoice gap insurance policy with Direct Gap, you’ll have ensured your finances remain protected, as we’ll cover the £10,000 deficit.
Alternatively, let’s say that you bought your car for £10,000 under a finance agreement, and the details of that deal meant you were going to be paying back a total of £12,000 once interest payments have been taken into account. Now let’s say that the value of your vehicle when it was declared a total loss was £7,000. That leaves you with a £5,000 shortfall to make up, which will be covered by us if you’ve taken out RTI gap insurance.
What’s more, your cover will include up to a maximum of £250 motor insurance excess.