BIBA
GeoTrust
container image

[ Contact Us ]

Need Help? Calling from a mobile please call 0151 647 7556

0800 195 4926

Do you have a question? or need help?

Customer Service Lines Open Mon-Fri 9am-6pm, Closed Saturday & Sunday

0800 195 4926

Customer Service Lines Open Mon-Fri 9am-6pm

GAP Insurance 101 - Your questions answered quickly

 

Welcome to our 'quick fire' GAP Insurance question and answer hub. For more in-depth detail answers, please click the link in each question. 

 

1. Policy Basics

  • How long does GAP Insurance last? - GAP Insurance usually lasts between 1 and 5 years. Some policies end earlier if your car is sold, written off or if your finance ends. The length you choose should match your ownership or finance term. 

  • Should I get GAP Insurance? - You may want GAP Insurance if your car is new or financed, as it protects against depreciation after a total loss. If you own an older or low-value car, GAP may not be as worthwhile. The decision depends on your car’s age, finance, and risk tolerance.

  • Does GAP Insurance affect my car insurance premium? - No. GAP Insurance is a separate policy and does not affect your motor insurance premium. It runs alongside your car insurance and only becomes relevant if your vehicle is written off or stolen.

  • Can GAP Insurance save me money in the long run? - Yes, GAP Insurance can save you thousands if your car is written off or stolen, by covering the shortfall between your motor insurer’s payout and what you first paid or still owe. If your car depreciates slowly or is of low value, the savings may be less.

  • What factors affect the price of GAP Insurance? - The cost of GAP Insurance depends on several factors, including your car’s value, age, mileage, the type of cover, claim limit, and the length of the policy. Dealer-sold GAP policies are often more expensive than those sold online.

2. Eligibility & Vehicles

  • Can I get GAP Insurance on a used car bought privately? - Yes, if you buy a used car privately, you may be able to take out an Agreed Value GAP policy (also known as Return to Value GAP). Instead of using the invoice price, cover is based on the car’s current market value at the time you arrange the policy.

  • Does GAP Insurance cover electric cars? - Yes, GAP Insurance can cover electric cars, protecting against depreciation, finance shortfalls, and rising replacement costs. Some policies may exclude batteries leased separately, so always check the terms.

  • Does GAP Insurance cover motorcycles? - Most GAP Insurance policies are designed for cars and may not cover motorcycles. Some providers exclude bikes due to higher risk, or provide specialist cover. 

  • Are imported cars eligible for GAP Insurance?

  • Does GAP Insurance cover modified cars (performance, wraps, alloys)?

  • Can I get GAP Insurance for vans or commercial vehicles?

  • Does GAP Insurance work for company cars?

  • Can high-mileage cars be covered by GAP Insurance?

  • Can young drivers get GAP Insurance?

3. Finance & Ownership

  • Can I get GAP Insurance with PCP finance?

  • Does GAP Insurance cover balloon payments on PCP?

  • What happens to GAP Insurance if I pay off my finance early?

  • Can GAP Insurance include negative equity from a previous car?

  • Does GAP Insurance cover voluntary termination of PCP?

  • What if I refinance my car during the policy term?

  • Can I get GAP Insurance if I buy my car with cash after already owning it?

4. Claims & Exclusions

  • What counts as a total loss for GAP Insurance?

  • What happens if my car is stolen but later recovered?

  • Does GAP Insurance cover fire or flood damage?

  • What happens if my insurer pays less than market value?

  • What happens if my insurer pays more than expected?

  • Does GAP Insurance cover courtesy or hire cars?

  • What happens if I keep the salvage after a write-off?

  • What documents do I need to make a GAP Insurance claim?

  • How long do GAP Insurance claims usually take to settle?

5. Costs & Value

  • Why is GAP Insurance from a dealer usually more expensive?

  • Are there admin or transfer fees on GAP Insurance?

  • Do GAP Insurance policies have claim limits?

  • What’s the difference between a 1, 2, 3, 4, and 5 year GAP policy?

  • Does the age or mileage of my car affect the cost of GAP Insurance?

  • Does GAP Insurance cost more for electric cars?

6. Policy Management

  • Can I cancel GAP Insurance at any time?

  • Do I get a refund if I cancel GAP Insurance?

  • Can I switch GAP Insurance providers mid-term?

  • Can I transfer GAP Insurance to a new car if I change vehicles?

  • Can I renew GAP Insurance when my policy ends?

  • What happens if I sell my car while still covered by GAP Insurance?

  • How do number plate changes (private plates) affect GAP Insurance?

  • What happens if I move house during my GAP policy?

7. Special Situations

  • Does GAP Insurance cover my voluntary excess?

  • Does GAP Insurance cover factory-fit options and dealer extras?

  • Does GAP Insurance cover accessories fitted after purchase?

  • Does GAP Insurance apply if I drive abroad?

  • Does GAP Insurance cover track days or off-road use?

  • Does GAP Insurance apply if my car is used for business travel?

  • Can GAP Insurance cover hire-purchase agreements on older cars?

  • Does GAP Insurance cover short-term or temporary insurance policies?