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Customers should focus on more protection

Customers should focus on taking GAP insurance products as the residual values - particularly on big 4x4s - threaten to fall through the floor, according to AA Warranty.
Simon Tennyson, managing director of AA Warranty said dealers should encourage customers to protect the invoice price of their vehicle rather than settle for the value at the time of a claim in the event of a write-off.
“Customers need to be looking at GAP, said Tennyson.
“4x4s haven taken a hammering. Residual values are dropping across the board but especially for 4x4s.
“Now’s the time to get this right, customers need more protection,” he added.
Tennyson also believes that dealers could expect to sell more warranties in the current economic climate with both new and used sales coming under pressure and customers keen to avoid any unexpected financial outlays that could result from lack of cover.
“If the product is explained correctly, dealers should be able to sell more warranties now.”