Promoted: Free 30-day GAP policy for PHers with ALA

Promoted: Free 30-day GAP policy for PHers with ALA

Author
Discussion

edc

8,954 posts

239 months

Thursday 9th March
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ALA Insurance said:
Hi everyone!

There are a number of codes available online at various times and if I can help anyone in relation to discount codes please get in touch. My email is katie@ala.co.uk smile

Thanks,
Katie
Are there any current offers for March?

dnhc

42 posts

166 months

Saturday 18th March
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hi i ran a 5 year cover on direct gap 'back to invoice' when it ran out they allowed me a 3 year cover on 'back to agreed value' do you offer anything along those lines?

interstellar

2,815 posts

134 months

Wednesday
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Just buying this now as I am collecting a new car tomorrow. I’m struggling to see the difference between back to invoice plus and vehicle replacement plus

Back to invoice plus seems the better policy, but surprisingly it’s cheaper?

ALA Insurance

Original Poster:

217 posts

98 months

Wednesday
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Hi dnhc

Thanks for getting in touch.

We do offer Agreed Value cover when the initial Back to Invoice Plus policy ends - this would be based on the Glass's Guide Retail Value of the car at the policy start date and can be bought for cars less than 10 years old with fewer than 100,000 miles on the clock.

Our maximum term for Back to Invoice Plus cover is 4 years; there are 5 year policies available from other providers however we would always suggest checking the T&Cs as the cover can change in the final year and may not be beneficial. Our policy would cover up to the invoice price for the full 4 years.

I hope that helps and if you need any further information at all please let me know.

Thanks,
Katie

ALA Insurance

Original Poster:

217 posts

98 months

Wednesday
quotequote all
Hi interstellar

Thanks for your message.

I'll run through the differences between the two policies, and "better" is always a bit subjective dependent on individual circumstances - with some examples this will hopefully become clearer.

Back to Invoice Plus: this pays up to the original cash price you paid for the car (so it is to a fixed amount) and the settlement is paid to you to use as you wish.
E.g. You paid £20k for your car, it's written off and your insurer pays £10k so the GAP insurance pays the other £10k.

Vehicle Replacement Plus - pays up to the cost of replacing your car a) as it was when you first bought it, and b) at the "current" cost. The GAP settlement is paid to a supplying dealer.
For example, your car was £20,000 and brand new when you bought it however it's written off after 2 years and the equivalent brand-new car is £23,000 at that point. If your insurer pays £10k, the VR+ policy would pay £13k to cover up to the new vehicle cost.

One thing to mention which applies to both - if you have finance and the settlement balance is the higher amount at the time of the claim, the GAP policy will pay up to this amount instead. Also, this is cleared as a priority by your comprehensive insurer's settlement and the GAP settlement. Whatever is leftover is then paid to you (under the BTI+ policy) or to a dealer if you have VR+.

I hope that information is useful and if you need any more information please let me know.

Thanks,
Katie

interstellar

2,815 posts

134 months

Thursday
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Thanks Katie. All sorted now.