Keychoice has teamed up with DAS Legal Expenses Insurance Company Ltd and MAPFRE ASSISTANCE to provide its 800 plus members with another way to boost their personal lines revenue by giving them access to a range of Guaranteed Asset Protection (GAP) insurance products.
Traditionally GAP protection has been sold mainly by motor dealerships. However, the partnership between Keychoice, DAS and GAP insurance specialist MAPFRE ASSISTANCE will help brokers break into this market and provides them with a new add-on product for their personal lines portfolio. With margins in motor remaining tight, the commission available for the Keychoice GAP cover will provide brokers with another valuable income stream.
The Keychoice GAP Protection Insurance product provides two levels of cover in the event of a total loss claim and is available for most new or used cars and vans. Return to Invoice GAP provides cover for the difference between the original invoice price and current market value of the vehicle, while Finance GAP covers the difference between any outstanding finance agreement and the current market value of the vehicle. This difference can be stark given how quickly vehicles depreciate in value and can leave drivers facing a significant shortfall if they want to replace their car or van on a like for like basis.
Underwritten by MAPFRE ASISTENCIA and administered by DAS, the two products are accessed via an online quotation system which produces all of the point of sale documentation required.
Derek Findlayson, commercial director at Keychoice said: “Everything we do is aimed at improving life for our brokers and we believe this new product will help them drive revenues and improve retention levels. Keychoice GAP Protection Insurance is a fantastic extension to our product range and in DAS and MAPFRE ASSISTANCE we are working with partners of the very highest calibre.”
Andy Westall, group sales manager at DAS said: “With cars losing value as soon as they leave the forecourt and around 500,000 cars being written off every year there is a growing interest in this product. With the online system allowing Keychoice brokers to produce quotes instantly, incept cover and produce policy documentation in minutes, they have a great sales opportunity, either at new business or when they receive a change of vehicle request.”
These sentiments were backed up by Charles Coburn, head of sales at MAPFRE ASSISTANCE who added: “Many people are surprised by just how much their vehicle has depreciated in value when their insurer pays out after a total loss. With the economic outlook remaining uncertain and household incomes under pressure, people simply cannot afford to make up this shortfall when it comes to replacing a vehicle and more are looking to the insurance market to provide the protection they need.”