Nobody wants to think about their vehicle being written off as a result of an accident, but if you’re unlucky enough for it to happen to you, you may want to consider arranging a ‘Guaranteed Asset Protection’, or Gap Insurance policy to help ease the financial consequences of having your car written off.
What is Gap Insurance?
Gap Insurance, insures the amount between your current vehicle value, and the value of outstanding finance you have on the vehicle in the event of your vehicle getting written off.
Insurers will only pay out on the market value of the vehicle at the time of the claim, not what you initially purchased it for. If your vehicle is written off, and you do not have Gap Insurance in place, you will be liable, if there is any outstanding finance on your vehicle. Even if it’s been written off. This could leave you out of pocket to the tune of thousands of pounds.
How Gap Insurance works
Gap Insurance works by insuring the gap between amount you paid when you purchased your vehicle, and the amount you receive from an insurer from a total loss claim. Having this sort of cover in place could stop you from being out of pocket, and help you to buy a replacement vehicle of similar value to your original vehicle, without having to use your own funds.
- We can arrange cover for any vehicle*
- Cover available for vehicles up to 8 years old, or 80,000 miles
- Suitable for Finance / Cash / Contract Hire / PCP and Lease customers
- Cover available from 12 to 60 months
- Maximum vehicle value £150,000
- Cover can be transferred to replacement vehicle if your original vehicle is sold
- Excess Cover included
- Up to 90 days’ cover in the EU
*Gap Cover can be arranged for all UK VAT registered sales purchase.
Frequently Asked Questions
To view the full FAQs for Car Insurance please click here.