12 Month Car Lease

Did you know that GAP insurance is not the same as car lease insurance? Many car lease companies can help customers apply for GAP insurance. A policy like this helps covers not only vehicle repairs, but also helps pay the costs of the vehicle if it is stolen or damaged. If a leased vehicle is totalled, the value of the vehicle may be less. If the value of the vehicle is less, it may not cover the cost of the lease. However, if the cost of vehicle is less, it may be far less than the cost that the insurance company or the leasing company may cover. This is why having GAP coverage may be useful. Did you know that it is not actually insurance; it is a debt cancellation policy.

When is the best time to consider getting a GAP policy? While it is a good idea to get GAP insurance when first leasing a vehicle, a GAP policy may be purchased at any time. However, would-be lessees must also comply with the leasing terms. Do you have collision or comprehensive insurance? Your GAP insurance may not be honoured if you do not have this additional insurance.

Should you get GAP Insurance

The advantages to having GAP or guaranteed auto policy may outweigh the cons of having a GAP policy. What can go wrong with having a GAP policy? While having a GAP policy can be helpful for some, it may also penalise others by turning their payments upside down.

Here are three reasons why GAP insurance may not be for you.

•    Overcharging — Some customers may not realise they are getting overcharged. Example, some customers may be overcharged if they have GAP insurance. They may be quoted a “suggested retail price” and they can negotiate the price of this insurance.

•    Higher down payment — Are you buying GAP insurance as a single payment? This may cause a person to pay a higher upfront down payment for GAP insurance.

•    More expensive for GAP Policy — Through a GAP policy may help people pay less than they otherwise would for any gap in coverage or damage, it could end up costing them more than they realise. The cost of the GAP policy, coupled with a higher deductible, may make the worth of having this additional assurance questionable.

Advantages of having GAP Insurance

Why is it best to have GAP insurance? Does having a solid GAP policy offer a customer value? GAP insurance may only cost a few pounds more a month, with the additional VAT payment. This also may mean that you do not have to make more than one payment. Having a policy may also mean there is no need to go through the complicated process if you are in a wreck.
Before signing up for GAP coverage, customers may want to ask a representative at an online leasing company if they would benefit from having GAP coverage. A representative for a leasing company can discuss all the pros and cons of having GAP insurance and if it is a viable option.

Is GAP insurance for you? What if you simply want forego going through a complicated process following an automobile accident? If you are looking at GAP insurance, talk to us at EM Lease first. We can help you get the best out of your vehicle lease, at the best price possible. EM Lease is a UK company that offers traditional six to 12 month short term car lease and 24 to 60 month long term fixed leasing contracts, with maintenance being offered optionally. Being on a long time lease offers customers flexibility and early termination of a contract will incur a penalty.

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