Vehicle Replacement Insurance with Free Policy Transfer for 5 years

Vehicle Replacement Insurance is probably the newest, yet most comprehensive type of Gap Insurance available in the UK today. This type of Gap Protection was initially developed for motor dealers, and was designed to pay the dealer the funds to replace the vehicle with an equivalent vehicle to the original vehicle sold. This was appealing to consumers as they got a new vehicle, but also perfect for motor dealers too as they were guaranteed the sale of the replacement vehicle also.

However, how useful is this Vehicle Replacement feature to you as a policy holder?

Lets say you had your vehicle written off 3 years after you bought it. There is a strong possibility that you would have seriously been considering replacing the vehicle with a new one anyway. This replacement may have been a totally different model, but instead you may have a Vehicle replacement policy that replaces the vehicle with the equivalent to the original.

Vehicle Replacement Can be More beneficial to the dealer than you?

Some online brokers have ‘off the shelf’ Vehicle replacement products supplied by product providers who also supply motor dealers. This may mean that you could buy a Vehicle Replacement Gap Insurance policy from an ‘independent’ source and still be forced to take a replacement model that may not suit your needs anymore.

However, this is not the case with all online vehicle replacement brokers, and in some cases there are examples of very flexible policy terms underwritten by big name insurers.

Sister brands GapInsurance123 and Easy Gap are owned and operated by Aequitas Automotive Ltd. Both brand carry Vehicle replacement policies that can cover up to 5 years, and in both cases they would pay the replacement funds to you and not any dealer.

Indeed the Easy Gap products have now recently changed underwriter to Ageas Insurance, one of the big four insurers in the UK.

The new Ageas Vehicle Replacement terms allow for a free policy transfer also, if you did change the vehicle in the period of cover.


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