31 Aug How to Counter the ‘My insurance company offers GAP’ Objection
When considering aftermarket products to add in the F&I department, there are few as controversial as GAP insurance (guaranteed asset protection). Ask any F&I manager what is the hardest ‘sell’ to buyers and they will likely say this one. It can be a challenge but it really doesn’t have to be.
Buyers will tell you that their car insurer offers GAP and they can just buy it from them. This is a common objection as there are several major carriers that will offer this protection. However, if you frame the presentation the right way and ask the right questions from the start, it should be easy to bring the buyer around to your way of thinking.
Let’s take a peek at how that specific objection can be turned on its head to help your PVR…
- Don’t be afraid to ask the hard questions…If they mention shopping GAP through their insurer or another source when offered, ask if they have the upfront funds to pay for that policy in full. If not, remind them that it can easily be financed without much change to their payment.
We are all operating in a time when everyone is watching their money closer than ever and not having to part with hundreds of dollars all at once can put buyers at ease.
- Coverage now when you need it most…that’s the second lever to pull. Don’t drive off the lot without this coverage. The buyer could spend too much time shopping for GAP through another provider or forget altogether, leaving them exposed. Get it now, included in the purchase and
- Remind them about risks with claims…if a buyer says they will check with their insurer about GAP, make sure you let them know that it’s important to ask if a claim against it will risk raising your rates. It may not be an issue but with most car insurers, any claims at all can result in a higher overall rate. Plant that seed and it may help them see getting GAP at the dealership is just easier all the way around.
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