Dear Concern

I have cleared my lien, and do not have any outstanding loan on my car, therefore I understand that Finance GAP is not of any use to me. However if I buy VRI/ RTI GAP am I correct in my understanding that in case of a Total Loss the insurance company would pay me the difference between current market value of my car and the new replacement value of the car.



Would appreciate your kind guidance.

RTI, Return to Invoice protection pays the difference between the total loss (through an accident resulting in an insurance write-off, or a theft resulting in loss of vehicle) depreciated value of the vehicle, and the original price paid for the vehicle. In other words, with Return to Invoice Insurance (RTI) you will receive the full purchase value (amount stated on the invoice) back in the event of a complete vehicle loss.

Vehicle Replacement Insurance (VRI, suitable for new car owners alone. Whether you purchase your vehicle using cash, contract hire, leasing agreements or finance (credit borrowed from a financial institution) you qualify for this cover and protection. Once protection is purchased, your vehicle is safe. In the event of a theft or an accident (wherein your comprehensive motor insurer has deemed the car a write-off) Vehicle Replacement gap Insurance (VRI) will provide you with a brand new car of the same make or type, even in the event of drastic price changes. The risk and effort involved in a total loss situation is dramatically lessened, with the vehicle never being worth less than your comprehensive motor insurer’s settlement figure.

I hope this helps.