If NFU can come up trumps with a decent quote they offer 2 years replacement identical car cover, probably the best insurer out there but at a price usually.

GAP insurance is quite a devisive subject on forums such as this. Basically the back to invoice GAP covers the difference between the insurance company payout and the invoice value of the car should the car be written off.

Some people think it is a waste of money, others don't.

The going rate for GAP insurance bought through the dealer seems to be 399 pounds plus. Whereas through GAP insurance sites it can be bought for 200 or less. This is for a three year policy.

Personal choice really. OK, your car will probably never be written off - but it is some extra cover should you want it.

To put it into perspective, spending 200 on a three/four year policy for a car which cost 16500 new, represents around 1.2% of the car's purchase price.

Edited by Auristocrat on 12/01/2013 at 22:06

Yes Toyota dealers do include GAP insurance and paint protection in their new car quotes - but you can decline either or both if you don't want them. In October when I bought my new Toyota, I declined the dealer's GAP insurance as I could source it for less than 50% of the dealer's quote and that was for a four year 'return to invoice' policy (www.ala.co.uk ) rather than a three year policy.

As regards GAP insurance, copied below is a detailed description I did 11 months ago:

" Three types of GAP insurance: Vehicle Replacement (VR) - which covers the cost of a new replacement car (only available on new cars); Return to Invoice (RTI) - covers the difference between the insurance payout and the original purchase invoice or the outstanding settlement figure owed to your finance company (whichever is the greater, and up to the claim limit you have chosen); Finance GAP - covers you only for the difference between the insurers payout and the amount you have left to pay on finance.

Dealers commonly charge £200 - £500 - these GAP policies tend to have no excess. Third Party brokers (Car Care Plan, www.cargapinsurance.co.uk, www.click4gap.co.uk, www.ala.co.uk, etc) are cheaper, can provide cover for up to 4 years, but some have a £250 excess for example. Sometimes dealers will match the cost of GAP insurance as part of the car purchase deal.

For new cars, some insurers will replace a car if written off with a new one - some brokers can defer the start of the GAP insurance by one year to cater for this.

GAP insurance has been the discussed a few times previously on this forum - some like it, and some view it as a waste of money.

I have had GAP insurance on our new cars since 2001 (six new cars), usually through Car Care Plan (via the Civil Service Motoring Association), and the most I have paid for three years cover on a new car is £ 178. I view it as worthwhile as it provides extra protection, and, relatively cheap (ie if the cost to change of the new car is £ 7000, £178 is 2.54%). Others may disagree.

Before buying,check the basis of claims settlement - as regards excesses (how will these be covered (paid by you or deducted from the settlement), and how the car will be valued in the event of a loss (ie, will they rely on your insurers figures, or will they value the car themselves)."