Motorcycle Protection specialist Ulti-Moto, has launched a new ‘30-Day Giveaway Gap’ insurance product to the market. Available to all UK dealers, the product gives every new or used bike buyer free 30-day gap insurance cover, which will pay the difference between what the owner’s standard insurance pays out after a total loss and the original purchase price or outstanding finance amount.
Ulti-Moto then offers an up-sell to a full gap policy to the customer. Dealers get a fee of £5 for each customer signed up for the free policy and a profit share of £20 per full policy sold post-sale.
The product is available to both FCA-regulated and non-regulated dealerships. For non-regulated dealers who are unable to sell financial products, it allows them to provide a gap insurance service with ease. At the same time, for regulated firms, it lets customers decide on the cover later on, maximising uptake.
Steve Keys of Ulti-Moto reckons the scheme could be a solid income stream for the industry. “An average dealer selling 500 new and used bikes per annum would earn £2500 – which is guaranteed. On a 15% conversion rate, they would then receive an additional £750, earning them an additional £3250 per annum, for basically doing nothing – except giving customers what they want and “treating them fairly.
“If you think about it, if every dealer came on board with this, we would be adding approximately (based on 100,000 new and 150,000 used sales UK-wide) £1.6m of profit directly into the motorcycle industry.”
For more information contact Ulti-Moto on 01206 855232 or visit
www.ultimotive.com/ulti-moto.