The British Insurance Brokers’ Association (BIBA) has approved an extension of its GAP scheme with Jackson Lee Underwriting (JLU), adding BIBA’s new electric vehicle early termination cover.
According to a release, the extension will be a “huge benefit” to BIBA members looking to protect companies that are providing electric vehicles (EVs) as part of a corporate salary scheme against the financial penalties of early redemption.
BIBA explained that JLU’s GAP scheme, which has been in place since 2012, covers most personal and commercial vehicles. It is underwritten by A+ rated security and is offered to BIBA members at a 25% commission rate.
“The UK Government has committed to net zero by 2050 and part of meeting this pledge is the promotion of EVs. In a move welcomed by businesses, a 2% Benefit in Kind will be paid to businesses entering an approved EV salary sacrifice scheme. In response to the demand, we launched our electric vehicle early termination cover to protect businesses joining the greener motoring initiative from risks outside of their control,” said JLU joint managing director Nick Mohan.
“We’re delighted to be able to offer our members this early termination cover. As ever JLU is ahead of the curve when it comes to spotting market needs and bringing innovative niche insurance products to brokers,” added BIBA head of technical services Mike Hallam.
Hallam added that the GAP extension allows BIBA members to enhance their portfolio and “jump on the opportunity to assist businesses making the move to electric.”
