We are pleased to announce some changes to our policies!
As of 1st May 2013 new GAP policies taken with us are now underwritten by Lloyd’s of London. Their history can be traced back as far as 1688 to humble beginnings as a coffee shop where mariners could purchase ship and cargo insurance. They are now the world’s specialist insurance market covering 7 main categories of risk.
Lloyd’s of London are a UK based, A+ rated underwriter, fully authorised and regulated by the Financial Conduct Authority. The move has allowed us to continue to offer the same excellent benefits we always have, namely:
- Exclusion of Market Value and Glass’s Guide clauses
- 120 days to make a claim
- Free transfers if you change your car before the policy ends
Also, in the unlikely event Lloyd’s of London ceases to trade and they can no longer fulfil their obligations, your policy is protected by the Financial Services Compensation Scheme.
Whilst our policies continue to provide the same high level of cover we have always offered, moving to Lloyd’s of London has further improved the benefits for our customers, specifically within our Vehicle Replacement Plus policy.
Prior to 1st May 2013 our Vehicle Replacement policy had a single option of replacing your car on a new for old basis if it was written off, or replacement with one of a similar age if your car was not brand new when you first purchased it. It would pay from your comprehensive insurer’s settlement up to the replacement cost of the same vehicle again (make, model, age and specification) with no alternative if you decided against it.
For Vehicle Replacement policies bought from 1st May 2013 onwards there are two options if you need to make a claim – making this a new and unique “hybrid policy”. The policy can fulfil its primary purpose by bridging the gap between your insurance company’s settlement and the cost of replacing the car at that point with an equivalent to that originally purchased, as it has always done. However, if you decide for any reason you do not want that particular car again you can instead have the policy pay back to the amount you originally purchased for the car, removing any obligation to take a like-for-like car.
It is important for our customers to have this level of choice and flexibility when taking out a GAP policy. We believe that this addition to our Vehicle Replacement+ policy fulfils this and we will strive to continue to offer the best value policies on the market.
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