What is total loss protection cover?
Total loss protection is designed to help bridge the gap between what you paid for your car and the insurance payout you receive if it is written off.
Without total loss protection, your vehicle’s insurer will probably only pay out the vehicle’s current market value. Total loss protection cover tops this up by 25% (up to a maximum of £10,000).
Our policy gives you extra funds to help you buy a suitable replacement that’s more in keeping with the car you have lost.
Can I transfer total loss cover to a different car?
As long as you haven’t made any claims on your policy, you can transfer the cover from an old vehicle to your new vehicle.
Why do I need total loss protection insurance?
As soon as you drive your new car off the forecourt, it starts to lose its value. And the newer the car, the more quickly it depreciates.
Total loss insurance helps to prevent a financial shortfall if your car is written off following a claim.
You may have outstanding finance bills to settle which may not be covered by your insurer’s payout, and you almost certainly won’t get back what you paid for it.
Our policy helps you to either pay off your outstanding loan or finance or buy a replacement more in keeping with the car you drove off the forecourt.
Why do cars depreciate in value over time?
There are a plethora of reasons why cars depreciate in value both in the short-term and long-term. Usually as cars age, their mileage increases and the condition of the vehicle getting worse from wear and tear, meaning your car is worth less than what you paid for it originally.
It’s estimated that some vehicles can lose up to 35% of their value within the first year of owning the car, and up to 50% after three years.
What about modified or classic cars?
Modified or classic cars are often insured on an agreed value basis, however, there may be some circumstances where agreed value is not available.
For these people, total loss protection is often an invaluable top-up to ensure owners receive the true value of their vehicle in the event of a total loss claim.
How much does total loss protection cover cost?
The premium is based on your vehicle’s car insurance policy length, as follows:
How can I get total loss protection insurance?
Our policy helps you maintain the cost of your vehicle by as much as 25%. Whilst your insurer will only pay out its current market value, Total Loss Protection could see you gain an extra £10,000 if the worst were to happen to your car.Full details of our cover provided can be found in our policy booklet. Alternatively, if you would prefer to buy your policy over the phone, speak to our highly trained staff on 0800 369 8590.