The auto industry in the UK is ever-changing and evolving in terms of available technologies. In cinematic history, the idea of self-driving cars was a fantasy but in recent years they have started to make their way onto our roads.
With these exciting innovations comes a larger price tag, so, naturally, buyers want an extra layer of protection in case something were to go wrong. This is where gap insurance comes into play.
Implications of autonomous vehicles, connectivity and electric powertrains
One of the most futuristic trends emerging is autonomous vehicles. These driverless cars are predicted to make up one-tenth of the road traffic by 2030. Autonomous vehicles use a combination of finely tuned systems to keep passengers safe. Sensors, artificial intelligence and machine learning all work together to recognise hazards on the road, plot routes and drive safely.
Connectivity in the automotive industry is another trend that is gaining momentum. By connecting vehicles to the internet, they can communicate with their environment. Features such as real-time traffic updates, provide entertainment for passengers, and potentially even communicate with other cars. This is something that autonomous car makers are investigating for their fleets.
Electric cars are becoming a common sight on UK roads. Huge car companies such as Land Rover, Aston Marten and General Motors all have plans to be more sustainable in the not-too-distant future. From an aesthetic point of view, going electric eliminates a bulk of the engine, freeing up some space for either added features or the ability to trim down and streamline the lines of the car. Whilst the main focus is being good for the environment with their reduced emissions and energy efficiency, there is no denying that electric vehicles will be better for our wallets in the long run too.
The role and benefits of gap insurance when adapting to the changing automotive landscape
Purchasing cars that have these technologies, at the moment, can set you back a large chunk of money. All cars, whether they are equipped with the latest tech or not, depreciate so, in the event of an accident or theft, your normal insurers will pay you the current market value for your car.
This is where gap insurance could be a wise investment for you. Gap insurance will pay you the difference between the market value of your car (which is what your standard insurers will pay) and the amount that you originally paid for the car, or the amount left on the finance agreement if you have one.
With the future of these technologies yet to be discovered, there is a significant risk that if something were to go wrong with them, you could be in a financial black hole. Gap insurance will help to prevent this at a reasonable price. It is worth getting lots of different gap insurance quotes to compare and find which one is best for you.