According to a recent research survey conducted by an independent insurance broker, at least three out of every four motorists in the UK have inadequate motor car insurance cover if their vehicle were to be stolen or written off.
Cheap car insurance broker ALA’s newest survey found that a full 77 per cent of UK drivers neglect to protect themselves adequately enough against the eventuality that the market value of a written off or stolen car falls short of any outstanding finance, cost of replacement, or invoice price. In light of the overwhelming number of motorists without any protection set in place for such an eventuality, ALA issued the recommendation for drivers to consider Guaranteed Asset Protection insurance, which ensures drivers are completely covered for the full value of their vehicle in the event of a total write-off.
The poll, which consisted of more than 2,000 adult drivers in the UK, found that 11 per cent had bought their car on hire purchase, while an additional 10 per cent had made use of a bank loan in order to do so. This could result in either group of drivers responsible for expensive repayment plans if their car is ever wrecked or stolen.
Those most at risk were found to be those drivers between 25 and 34 years of age, the study found. 16 per cent of this age group used a personal bank loan in order to afford their car purchase, while another 14 per cent are making use of finance instead.
6 per cent of respondents admitted to having their vehicle stolen over the past 12 months. Moreover 10 per cent also reported their vehicle having to be written off over the past year as well, which indicates that there are clear risks of running into more expensive repayments unless you secure GAP insurance from one of the UK’s many car insurance companies that offer such policies.