Shortfall.co.uk today confirmed that new Gap Insurance products offered by the brand contain no 'market value' clauses.
Wirral, UK (PRWEB UK) 23 August 2013
One of the leading Gap Insurance providers in the UK have released more details on product features for the new website Shortfall.co.uk. Aequitas Automotive launched the new brand this week, and have today confirmed further details on product features on the core Gap Insurance range.
In particular, the company confirmed the absence of a 'market value' clause for the Gap products. Company Director Mark Griffiths explained the reasoning for this, and why the company sought to clarify this specific point.
"The 'market value' clause can be used to define the maximum purchase price or the value from which your Gap Insurance settlement can pay from. This is usually defined by the Retail Value shown in Glass' Guide."
"This means that you could have a clause that restricts the maximum you can cover as a purchase price, so if you have paid more than the Glass' Guide Retail Value then your Gap cover could be restricted to that value."
"The other type of 'market value' clause can be where the Gap Insurance will only cover from the Glass' Guide Retail Value for the vehicle at time of total loss. In theory, if the motor insurer settles for less then there could be a gap between the motor insurer and the gap insurer that cannot be met."
"Aequitas Automotive would like to confirm that, in agreement with our underwriting insurer, that the Shortfall.co.uk Gap Insurance products do not have either of these 'market value' clauses, and that settlements will be based on the motor insurers payout."
The Aequitas Automotive Director confirmed the reason for the clarification, and commented on the significance of the feature in the eyes of the company.
"It became important to clarify this point today, as we understand that some information on our new products may have been misinterpreted in the market. We hope that this clear statement, and the one provided on the Shortfall.co.uk website today, clarifies this entirely."
"In actual fact, our view on the 'market value' clause is that it is not particularly significant. What sets Aequitas Automotive as unique is that our company operates three brands in the field. Indeed, the Easy Gap and GapInsurance123 websites provide cover from the Glass' Guide value in the event of a claim."
"Perhaps due to the claims process we employ, we have never processed a settlement where the difference between the motor insurers settlement and the Gap Insurance settlement cannot be bridged."
"The new Shortfall.co.uk Gap Insurance products were specifically designed to offer consumers options to what we already had. There could be situations where consumers are concerned that their motor insurance will not pay the required amount. For these people, we can now provide an alternative."
"It will be interesting to see whether the absence of these clauses provides significant interest or not."
Aequitas Automotive confirmed that further clarification on the 'no market value' clause feature can be found on Shortfall.co.uk, and in the product terms.