In the event of your vehicle being written off in an accident or stolen, our Finance, Lease and Contract Hire Gap Insurance can offer priceless financial protection. It will pay the difference between the outstanding finance balance and the settlement you receive from your motor insurer.

Cover will include up to a maximum of £1,000 motor insurance excess.

Let’s say that at the point where your car is declared a total loss, you owe £20,000 on your finance agreement. However, due to depreciation and other factors, your car at that stage is only valued at £14,000, which is the settlement you receive from your motor insurance provider.

That leaves you with a hefty £6,000 shortfall on the finance agreement – an amount that you may not be able to come up with. But by taking out Finance Gap Insurance with Direct Gap you’ll have protected yourself, as your policy will ensure that we’ll cover that £6,000 deficit.

Because the value of your car at the time of being declared a total loss will be different to when you first bought it, your motor insurer will offer you a settlement in line with its current worth, rather than the value at the time of purchase.

Recent research shows that the average car depreciates by as much as 60% in its first three years which, if your car were to be written off, could leave you with a significant deficit to pay on a vehicle you can no longer drive.

That’s a situation that nobody would relish, which is why our Finance Gap Insurance is worth considering as a sensible option to mitigate any damaging costs if the worst were to happen to your car.

If misfortune were to strike and your car was declared a total loss, you could be left with a large amount outstanding on your finance agreement. That’s because a motor insurer’s settlement will be in line with the car’s value at the time of the incident, rather than its worth when you originally made the purchase.

If you come to us for your Finance Gap Insurance, we’ll cover that shortfall on your agreement. Without it, you’d have to make up that deficit out of your own pocket, leaving you to pay off a car that is no longer driveable.

Gap Insurance for lease hire is not a legal requirement in the same way that standard motor cover is. But it could prove a shrewd financial decision if your vehicle were to be declared a total loss.

If your car got stolen or was written off and you had not taken out a Gap Insurance policy, the leasing company would expect you to pay off the remainder of the lease. This could run into many thousands of pounds.

Get a quote.

Only your insurer can declare the vehicle a total loss which in general can result from accidental damage, your fault or third party fault, fire, theft or vandalism.

Total loss means that you have claimed under your motor insurance, your claim has been agreed, your vehicle has been forfeited (title of the vehicle transferred to the motor insurer) and a payment made following the incident.

If your vehicle is written off and you have taken out Contract Hire, HP or PCP Gap Insurance, the next steps will be as follows:

1. Your motor insurer will confirm your car is a total loss.
2. A settlement figure is requested and subsequently received from the provider of your finance agreement.
3. Direct Gap will then pay the difference between the motor insurer’s settlement and the total finance remaining on the vehicle, ensuring that you have nothing to pay.
4. If you have chosen to purchase deposit protection as an add-on to your main Finance Gap Insurance policy, your deposit will be refunded up to a maximum value of £2,000.

Yes, if your car is written off in an accident that was your fault, your Contract Hire Gap Insurance will still cover you. However, some exclusions apply. For example, if the driver is under the influence of alcohol or non-prescription drugs, the policy will not be valid. The same goes for any illegal activity, fraud or an act of wilful negligence. Please see your policy wording for a full list of the exclusions.

You need to wait until your motor insurer has declared your vehicle a total loss before you can make a claim. Once they have done that, the process is perfectly straightforward:

1. Call our claims line on 01422 756 100.
2. Fill out the claims form.
3. Your paperwork will be checked by a member of our expert in-house claims team.
4. If all is approved, your money will be sent to you via bank transfer.

For more information, head over to our guide on how the claims process works.

If you’ve bought your car via Personal Contract Purchase (PCP), choosing between our policies will depend on your circumstances – there is not necessarily one solution that will suit all.

For example, our Finance/Contract Hire Gap Insurance may be most appropriate if you have put down a minimal deposit. It will cover the difference between the outstanding finance balance and the value of the car at the point where it was declared a total loss.

Our Vehicle Replacement + Gap Insurance will pay the difference between your motor insurer’s settlement and the cost of a replacement car, matching the original specifications of the vehicle.

If you’ve put down a sizeable deposit on your car, our Return to Invoice + Gap Insurance may be the preferred choice. It will cover the difference between your insurer’s payout and the purchase price of your vehicle. Whatever your situation, here at Direct Gap we’re committed to providing the solution that best suits your requirements.

Get a quote.

Yes, our Finance Gap Insurance policies are extremely flexible and cover all types of agreements. Contract hire is specifically covered under this policy as it recognises you may not be the registered keeper of the vehicle, but the hirer.

It couldn’t be simpler to get a Finance Gap Insurance quote. Just enter your vehicle’s cost and the desired length of policy, and we’ll provide you with an estimate in a matter of seconds. If you then select ‘Buy Now’, we’ll make it clear what your policy covers and what it doesn’t.

Get a quote.

Yes, if you wish to discontinue your policy then you can cancel. Usually, to be entitled to a refund you need to do this within 14 days of the cover’s start date. However, we offer you a grace period of 30 days. Beyond that period, you’ll be charged £35 as a cancellation fee and then refunded on a pro-rata basis.

A Contract Hire, HP or PCP Gap Insurance policy can be purchased at any time.

The policy should always be in the name of the owner/hirer or registered keeper of the vehicle.

Yes, up to £1,000 in the event of a total loss claim.

Yes; you are covered when keys are stolen from your home or office which results in vehicle theft. However you must exercise due diligence and take appropriate steps to safeguard both the keys and the vehicle.

No insurer, including your motor insurer, will provide cover for wilful negligence. For example if you leave the keys in the vehicle and you go off to pay for fuel which results in the vehicle being stolen.

Please see your policy wording for a full listing. However, the main exclusions of Finance Gap Insurance are when the vehicle becomes a total loss as a result of:

• The driver being under the influence of non-prescription drugs or alcohol
• Being involved in illegal activity
• Fraud or an act of wilful negligence e.g., leaving keys in the ignition whilst the vehicle is unattended.

The purchase price is the price of your Vehicle, as confirmed in the sales invoice which includes factory fitted accessories and dealer fitted options up to £1,500, paintwork protection systems up to £250.

You should exclude all deposit allowances, discounts, rebates, concessions, cashbacks, incentives and contributions. Also exclude new vehicle registration fees, road fund licence fee, number plates, warranty costs, insurance premiums, fuel and other extras, arrears or negative equity.

The Claim Limit is the "top up" difference between the vehicle value at the point of total loss and the amount required to settle the outstanding finance.

On vehicles costing up to £75,000, Return to Invoice policies also have an overall claim limit of the original purchase price of your vehicle. On vehicles costing over £75,000, a £75,000 claim limit is in place.

YES, we will insure your initial deposit up to £2,000. This is an optional add on.

Yes. Your Finance Gap Insurance will include all drivers provided that they are covered on your comprehensive motor insurance policy to drive the vehicle as a named driver.

You are covered not only in England, Wales, Northern Ireland, Scotland, Isle of Man and the Channel Islands but also in member countries of the European Community and any other country for which an International Motor Insurance Certificate (Green Card) is effective on your vehicle at the point of Total Loss up to 120 days in any one trip.

You can pay for your policy either in a one-off payment with the use of a credit/debit card without any charges or we can arrange for credit payments over 12 months. Please note that the payments are collected by a third-party agency and a small administration fee applies.

We are an internet-based provider and as such we have lower overheads than motor dealers. As a result of the high volume of Gap Insurance that we sell annually, we can provide quality policies at the keenest prices.

You can be confident that our prices are lower than those quoted by dealers and many other websites. Paying less than you have been quoted elsewhere in no way means that you are buying an inferior product, it just means that they are making more profit from your purchase!

Get a quote.

Policy documents together with confirmation of payment are sent by email as soon as you make the payment.

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This page was last updated on 12^th July 2021.

We can provide cover on vehicles up to 10 years old.

Return to Invoice Gap Insurance offers priceless peace of mind in the event of your vehicle being stolen or written off in an accident. Should your car be declared a total loss, this policy covers the difference between the settlement you receive from your motor insurer and the price you paid to buy your vehicle in the first place.

The value of your car at the time of being written off will be different to when you first bought it. Your motor insurance company will offer you a settlement in line with its current worth, rather than its value when you made the purchase.

If you purchased your vehicle under a finance agreement (except where the policy is transferred) and the outstanding balance at the point of total loss is greater than the original purchase price, RTI Gap Insurance can help you. It will pay the difference between the current market value of the vehicle and the finance balance still due to be paid.

Cover will include up to a maximum of £1,000 motor insurance excess.

Get a quote.

Let’s say that you paid £20,000 for your car. However, at the point where it was declared a total loss, its value had depreciated over time to £12,000. That is the sum that you will receive from your motor insurance company, leaving you £8,000 short of your original investment – a substantial amount by most people’s standards. But by taking out a Back to Invoice Gap Insurance policy with Direct Gap, you’ll have ensured your finances remain protected, as we’ll cover the £8,000 deficit.

Alternatively, let’s say that you bought your car for £10,000 under a finance agreement, and the details of that deal meant you were going to be paying back a total of £12,000 once interest payments have been taken into account. Now let’s say that the value of your vehicle when it was declared a total loss was £7,000. That leaves you with a £5,000 shortfall to make up, which will be covered by your RTI Gap Insurance.

You are not obligated to take out Return to Invoice Gap Insurance – it’s not a legal requirement like standard motor insurance. But as you can see from the examples above, it could prove a sensible financial decision if the worst were to happen to your car.

If your vehicle was stolen or written off and you had no cover in the form of an RTI policy, you could be left significantly out of pocket, or with a large amount left to pay on your finance agreement.

As with any policy, it’s always worth carefully reading through the terms and conditions of your motor insurance documents. If your car is new, some insurers may offer you a replacement vehicle within the first 12 months of ownership. In that situation, you could opt to defer the start of your RTI Gap Insurance policy until your vehicle is one year old.

Return to Invoice Gap Insurance can prove especially worthwhile if you’ve bought a brand new car that may lose value quickly over time. Studies show that cars can depreciate by as much as 60% within the first three years, which could leave you significantly out of pocket if your vehicle were to be declared a total loss.

If that were to happen, your motor insurer’s settlement will be paid in line with the car’s value at that time, rather than in relation to its purchase price. That difference could run into many thousands of pounds, leaving you to pay off a vehicle that you can no longer drive.

Nobody wants to be put in that position, and with our RTI Gap Insurance quotes starting from just £89, we believe it’s a small price to pay for that financial protection and all-important peace of mind.

Get a quote.

Yes, Return to Invoice Gap Insuranceis available to those who purchase their cars by way of a finance agreement. If your vehicle is written off and the outstanding balance is greater than the initial purchase price, your policy will cover that difference and release you from the finance contract. This excludes negative equity carried forward from any previous finance agreement and arrears on the contract.

Yes, you can defer the start date for up to a maximum of 12 months but the cover must be taken within 180 days of purchasing the vehicle. The policy start date must not exceed the anniversary of the vehicle’s first registration. It is entirely your responsibility to ensure that you have the appropriate cover provided by your motor insurer during the first 12 months.

Yes, you can make one transfer during the period of insurance. If you sell your vehicle, provided that no claim has been made under the policy, you may transfer the remaining cover to the replacement vehicle, subject to our agreement. No fee will apply for this transfer.

A new schedule will be issued confirming the replacement vehicle details. Where the new vehicle is deemed to be of a higher value, an additional premium may be required. Cover will not include any refinancing.

In the event of bereavement, the remaining benefits of the RTI Gap Insurance may be transferred to the policyholder's spouse or partner.

Yes, Back to Invoice Gap Insurance will still cover you even if the incident that caused your vehicle to be declared a total loss was your fault. However, exclusions apply if the driver is under the influence of alcohol or non-prescription drugs or involved in illegal activity, fraud or an act of wilful negligence. Please carefully read through the terms and conditions of your policy wording for a full listing.

Taking out Return to Invoice Gap Insurance is not an obligation, but it could prove to be a shrewd financial decision in the event of your vehicle being declared a total loss. That’s because the settlement you receive from your motor insurance company will be in line with the car’s value at that time and therefore you would only regain a proportion of the original purchase price.

Our RTI Gap Insurance quotes start from just £89 and it means you’ll be covered for up to the initial value of the vehicle, so it may be worth considering as an additional option to your standard car insurance.

Get a quote.

Only your insurer can declare the vehicle a total loss. In most cases, this will result from accidental damage, your fault or third-party fault, fire, theft or vandalism.

Total loss means that you have claimed under your motor insurance, your claim has been agreed, your vehicle has been forfeited (title of the vehicle transferred to the motor insurer) and a payment made following the incident.

You can claim on your RTI Gap Insurance once your vehicle has been declared a total loss by your motor insurer. The process will then follow these steps:

1. Call the claims line on 01422 756100.
2. Fill out the claims form.
3. The relevant paperwork will be checked.
4. Your money will be issued to you by bank transfer.

For further information, check out our guide to claiming on your Gap Insurance policy.

We want to make your life as easy as possible. That’s why getting an RTI Gap Insurance quote is perfectly straightforward. All you have to do is enter your vehicle’s cost and the length of policy you’d like to take out. Once that’s done, you’ll have your estimate almost instantly. If you hit ‘Buy Now’, you’ll see exactly what is covered by your policy.

Get a quote.

Yes, if you wish to cancel your policy then you may do so. To be entitled to a full refund you usually have to cancel within 14 days, but here at Direct Gap, we offer a 30-day grace period. After those 30 days are up, you’ll be charged a £35 cancellation fee and refunded on a pro-rata basis.

Our Return to Invoice Gap Insurance can be purchased as long as you have owned the vehicle for less than 180 days.

The policy should always be in the name of the owner/hirer or registered keeper of the vehicle.

Yes, up to £1,000 in the event of a total loss claim.

Yes, you are covered when keys are stolen from your home or office which results in vehicle theft. However, you must exercise due diligence and take appropriate steps to safeguard both the keys and the vehicle.

No insurer, including your motor insurer, will provide cover for wilful negligence – such as when the vehicle is stolen as a result of you leaving the keys in the vehicle while you pay for fuel.

The main exclusions on an RTI Gap Insurance policy are when the vehicle becomes a total loss as a result of:

• The driver being under the influence of non-prescription drugs or alcohol
• Illegal activity
• Fraud or an act of wilful negligence

Please see your policy wording for a full list of exclusions.

The purchase price is the price of your vehicle, as confirmed in the sales invoice which includes factory-fitted accessories and dealer-fitted options up to £1,500 and paintwork protection systems up to £250.

You should exclude all deposit allowances, discounts, rebates, concessions, cashbacks, incentives and contributions. Also exclude new vehicle registration fees, road fund licence fee, number plates, warranty costs, insurance premiums, fuel and other extras, arrears or negative equity.

The claim limit is the difference between your motor insurer’s settlement at the point of total loss and the original purchase price OR the amount needed to settle the finance shortfall, whichever is greater.

On vehicles costing up to £75,000, Return to Invoice policies also have an overall claim limit of the original purchase price of your vehicle. On vehicles costing over £75,000, a £75,000 claim limit is in place.

Yes, Return to Invoice Gap Insurance will include all drivers provided that they are covered on your comprehensive motor insurance policy to drive the vehicle as a named driver.

As well as the UK, your Return to Invoice Gap Insurance covers you in the Isle of Man, the Channel Islands and member countries of the European Community and any other country for which an International Motor Insurance Certificate (Green Card) is effective on your vehicle at the point of total loss up to 120 days in any one trip.

You can pay for your Back to Invoice Gap Insurance in one of two ways. You can do so through a single payment with the use of a credit/debit card or we can arrange for instalments over 12 months. Please note that the payments are collected by a third-party agency and a small administration fee applies.

It can either be a single, one-off payment with the use of a credit/debit card without any card charges, or alternatively we can arrange for credit payments over 12 months. Please note that the payments are collected by a third-party agency and a small administration fee applies.

We are an internet-based provider and as such we have lower overheads than motor dealers. As a result of the high volume of Gap Insurance that we sell annually, we can provide quality policies at the keenest prices.

You can be confident that our prices are lower than those quoted by dealers and many other websites. Paying less than you have been quoted elsewhere in no way means that you are buying an inferior product, it just means that they are making more profit from your purchase!

Get a quote.

Policy documents together with confirmation of payment are sent by email as soon as you make the payment.

-

This page was last updated on 12^th July 2021.

We can provide cover on vehicles up to 10 years old.

In the event of your vehicle being written off, this total loss gap insurance will pay the difference between the motor insurer’s settlement and the price of a replacement vehicle matching the cost of the car’s original specification.

If you purchased your vehicle under a finance agreement (except where the policy is transferred) and the outstanding finance balance at the point of total loss is greater than the replacement vehicle cost, this insurance will pay the difference between the vehicle value at the time it was written off and the outstanding finance balance.

The value of your vehicle at the time of being declared a total loss will be different to when you first purchased it, and your motor insurance company will offer you a payout aligned to its current worth, rather than its original purchase price.

It is estimated that cars can depreciate by as much as 60% over as little as three years, which may leave you with a significant financial shortfall if your car was to be written off. That is an unpleasant scenario for anyone to imagine, which is why we offer the best in Vehicle Replacement Gap Insurance, to help protect you and your finances.

Get a quote for Vehicle Replacement Gap Insurance

For example, if you paid £25,000 for your car, but its value at the time of being written off was only £15,000, your Vehicle Replacement Gap Insurance would cover the £10,000 difference between that original purchase price and the settlement you received from your motor insurer. Additionally, if the value of your replacement vehicle had gone up from the original purchase price, your gap insurance policy would deliver a payout to reflect that.

Alternatively, let’s assume you bought your car on a finance deal for £25,000 and, at the time of being written off, you owed £17,000. Your vehicle replacement gap policy would ensure the finance company received their money, while you would keep the remaining £8,000. In cases where the outstanding balance was greater than the cost of a replacement car, this policy would cover the difference between the vehicle’s value when it was written off and the amount left outstanding on the finance agreement.

Furthermore, your cover will include up to a maximum of £1,000 motor insurance excess.

There is no obligation to take out total loss gap insurance, but it can prove a sensible decision if your car were to ever be written off. If that were to happen and you did not have vehicle replacement gap cover, you could be left significantly out of pocket or with a hefty amount to repay on your finance agreement.

We would always recommend carefully reading through the terms and conditions of your motor insurance policy. If your car is new, your insurer may include the offer of a replacement vehicle within the first year of ownership. If that is the case, you could always choose to defer the start of your Vehicle Replacement Gap Insurance until your car is 12 months old.

Get a quote for Vehicle Replacement Gap Insurance

Only your motor insurer can declare the vehicle a total loss. In general, this can result from accidental damage, your fault or third-party fault, fire, theft or vandalism.

Total loss means that you have claimed under your motor insurance, your claim has been agreed, your vehicle has been forfeited (title of the vehicle transferred to the motor insurer) and a payment made following the incident.

Yes, you will be covered even if the incident that caused your car to be written off was your fault. However, you will not be covered if the driver is under the influence of alcohol or non-prescription drugs or involved in illegal activity, fraud or an act of wilful negligence. Please take the time to carefully read through the terms and conditions of your replacement vehicle gap policy for full details.

Yes, this policy is an option for you if you have purchased your car via a finance agreement. You will receive any money that is left over once the finance company have been paid what they’re owed, and if the outstanding balance is greater than the cost of a replacement vehicle, this policy will cover the difference between the remaining balance and the value of the car when it was written off.

Yes, in the event that your finance settlement exceeds the purchase price of the vehicle, this total loss gap insurance policy will settle the outstanding finance shortfall and release you from the finance contract. This excludes negative equity carried forward from any previous finance agreement and arrears on the contract.

No, once your motor insurance company have declared your car a total loss, your finance company will subsequently receive the outstanding balance thanks to the cover provided by your Vehicle Replacement Gap Insurance policy.

Get a quote for Vehicle Replacement Gap Insurance.

You can take out total loss gap cover on a used car, but it may make more sense to do so on a new vehicle, which would likely come with a higher initial value and could leave you with a greater financial shortfall in the event of it being declared a total loss.

Our vehicle replacement gap policy can be purchased providing you have owned the vehicle for fewer than 180 days.

Yes, you can defer the start date for up to a maximum of 12 months but the cover must be taken out within 180 days of purchasing the vehicle. The policy start date must not exceed the anniversary of the vehicle’s first registration.

It is entirely your responsibility to ensure that you have the appropriate cover provided by your motor insurer during the first 12 months.

You can pay for your Vehicle Replacement Gap Insurance via a one-off payment with the use of a credit/debit card without any charges. Alternatively, we can arrange for credit payments over 12 months. Please note that the payments are collected by a third-party agency and a small administration fee applies.

We are an internet-based provider, which means we have lower overheads than motor dealers. As a result of the high volume of total loss gap cover that we sell, we are able to provide quality policies at the keenest prices.

You can be confident that our prices are lower than those quoted by dealers and many other websites. Paying less than you have been quoted elsewhere does not mean you are buying an inferior product, it just means that they are making more profit from your purchase!

Get a quote for Vehicle Replacement Gap Insurance.

You will be able to claim on your policy once your car has been declared a total loss by your motor insurance company.

The process will then be as follows:

• You will need to call the claims line on 01422 756100
• You’ll then have to fill out the claims form
• The relevant paperwork will need to be checked
• Your money will be issued to you by way of bank transfer

The claim limit is the difference between the motor insurer’s settlement and the cost of a replacement vehicle matching the original vehicle specification or to settle the finance shortfall, whichever is greater.

Please see the policy terms and conditions for a full listing, however the main exclusions on your Vehicle Replacement Gap Insurance are:

The vehicle becoming a total loss whilst the driver is: under the influence of non-prescription drugs; under the influence of alcohol; involved in illegal activity, fraud or an act of wilful negligence, e.g. leaving keys in the ignition whilst the vehicle is unattended.

The purchase price is the price of your vehicle as confirmed in the sales invoice, which includes factory-fitted accessories and dealer-fitted options up to £1,500 and paintwork protection systems up to £250.

You should exclude all deposit allowances, discounts, rebates, concessions, cashbacks, incentives and contributions. Also exclude new vehicle registration fees, road fund licence fee, number plates, warranty costs, insurance premiums, fuel and other extras, arrears, or negative equity.

Get a quote for Vehicle Replacement Gap Insurance

Policy documents together with confirmation of payment are sent by email as soon as you make the payment.

The policy should always be in the name of the owner or registered keeper of the vehicle.

Yes, up to £1,000 in the event of a total loss claim.

Yes, you can make one transfer during the period of insurance.

If you sell your vehicle, provided that no claim has been made under this insurance, you may transfer the remaining cover to the replacement vehicle, subject to our agreement. No fee will apply for this transfer. A new schedule will be issued confirming the replacement vehicle details. Where the replacement vehicle is deemed to be of higher value, an additional premium may be required.

Cover will not include any refinancing.

In the event of bereavement, the remaining benefits of Vehicle Replacement Gap Insurance may be transferred to the policyholder's spouse or partner.

Yes, this total loss gap insurance covers you when keys are stolen from your home or office which results in vehicle theft. However, you must exercise due diligence and take appropriate steps to safeguard both the keys and the vehicle.

No insurer, including your motor insurer, will provide cover for wilful negligence – for example if you leave the keys in the vehicle to pay for fuel and the vehicle is stolen.

Yes, vehicle replacement gap will include all drivers provided that they are covered on your comprehensive motor insurance policy to drive the vehicle as a named driver.

You are covered in the UK, Isle of Man and the Channel Islands. You are also insured in member countries of the European Community and any other country for which an International Motor Insurance Certificate (Green Card) is effective on your vehicle at the point of total loss up to 120 days in any one trip.

Get a quote for Vehicle Replacement Gap Insurance

No. Direct Gap are providers of additional cover, and as such do not offer a courtesy car. Your motor insurance policy may include this, but please check the terms and conditions of that policy to be certain. Nor do Direct Gap provide you with the replacement vehicle – our total loss gap insurance policy is designed to ensure you receive the money you need to be able to afford a new car to the same specifications, but we do not provide you with the car itself.

Yes, it is possible to cancel your Vehicle Replacement Gap Insurance. To get a full refund, you would usually have to do so within 14 days of the policy’s start date. However, at Direct Gap, we offer you a 30-day grace period.

If you choose to cancel after those 30 days are up, you will be charged a fee of £35 and given a refund on a pro-rata basis.

It couldn’t be simpler to get a quote for this total loss gap cover. Just enter your vehicle’s cost and the desired length of policy and you’ll have your estimate in a matter of moments.

Get a quote for Vehicle Replacement Gap Insurance

We can provide cover on vehicles up to 10 years old.