GAP Insurance

GAP insurance explained
Guaranteed Asset Protection Insurance (GAP)

How it works

If your car is written off (that being an accident, fire, theft or flood), your main insurance policy will pay out the market value of the vehicle at the time of the claim. Sometimes, this is not enough to cover the total settlement figure on your lease agreement.

Being a leased vehicle, you (the lessee) will be responsible for settling the agreement if the market value your insurer pays out is not be enough. GAP Insurance is there to cover this cost. 


Let’s say you lease a Volkswagen Polo, worth £12,000, and you take it over a 2-year agreement. 18 months in, your car is written off. Your main insurer pays out the fair market value for the vehicle, which for this example is £8,000, but the lease company send you a settlement of £10,000.

This means there is an outstanding amount of £2,000, which you are liable for. GAP insurance will cover the difference between the market value your insurer pays out and the settlement figure, leaving you debt free! 

Benefits of GAP

  • Covers 100% of outstanding rentals
  • No shortfall left for you to pay
  • Covers £250 of your excess
  • Protection for your initial rental up to £2,000
  • 30-day money back guarantee
  • Option to pay monthly Cover from 2 to 5 years
  • Covers all factory fitted options

Considerations of GAP

  • It does not cover any non-standard extras (if you add a spoiler, for example!)
  • Some brands of vehicle are excluded (like Aston Martin or Bentley, so not the usual ones!)
  • Your excess over £250 will not be covered 
  • Deductions made by your main insurer will not be covered (if you still owe them money for the policy, this may be deducted from their pay-out)

How much does GAP cost?

Our GAP policies start from as little as £169. The price is of GAP insurance is based on the value of the vehicle you are leasing. The below shows you the different prices:

Value of vehicle Price of the policy
Up to £37,500 £169.00 / £16.90 pm
£37,501 to £75,000 £199.00 / £19.90 pm
£75,001 to £125,000 £349.00 / £34.90 pm
£125,000+ Bespoke

This can either be paid in full by debit or credit card, or monthly over 10 months, interest free!


Can I take out GAP if I have already taken delivery?

Yes, but you must do it within 90 days of your delivery.

Do I need GAP insurance?

This really depends on two things; the terms of your finance agreement and what's included in your main insurance policy. The best thing to do is talk to your account manager and insurer.

Do I need to have GAP insurance?

Although recommended, it is completely optional. We recommend speaking to one of our friendly team, who can run through all of your options and help you come to an informed decision.

Do you cover names drivers?

Yes, as long as they are insured by your main motor insurer to drive the vehicle.

Can I still put a private registration on my vehicle?

Yes, that is no problem at all. If you do this after taking the vehicle, you must let us know as soon as possible.

Is there an excess payable?

No, there is no excess payable on a GAP policy. In fact, it reimburses you £250 of your excess, should you need to pay it.

Is there a claim limit?

All policies are different and that will need to be a question you ask the sales advisor dealing with your policy. Or you can call us to ask, on 01223 661800.

Can I transfer my policy to an​other vehicle?

Yes, you can. Just speak to your account manager and this can be arranged.

If you want to discuss leasing and how it might benefit you, please don't hesitate by getting in contact, or completing a callback form: