What Happens If I Sell My Car While Still Covered by GAP Insurance?

If you sell your car while still covered by GAP Insurance, the policy will usually end automatically. In most cases, you may be eligible for a pro-rata refund of the unused premium. Some providers also allow you to transfer the policy to your next vehicle, depending on their terms and conditions.

Does cover continue? · Refund options · Transfer options · Steps to take · Related links

Selling your car, but still have Total Loss GAP Insurance?

Contact Total Loss GAP to check your refund or transfer options

Does cover continue after sale?

No, once you sell your car, the GAP Insurance policy ends because the insured vehicle is no longer yours.
Cover cannot be used by the new owner (in most cases), as policies are tied to you and your purchase.

Refund options

If you sell your car, you can usually request a pro-rata refund for the unused portion of your premium.
Your provider may deduct an admin fee (often around £35).
Refunds are not normally available if you’ve already claimed on your GAP Insurance policy.

Transfer options

Some GAP Insurance providers allow you to transfer your policy to your next car, if purchased within a certain timeframe.
Transfers may be free or may include an admin fee.
Not all policies are transferable, always check your provider’s terms.
Some GAP Insurance providers allow a transfer of the cover to a family member, if you sell or give the car to them.

Steps to take

Notify your GAP Insurance provider when you sell your car.
Ask whether you qualify for a refund or transfer.
Provide details of your car sale and, if applicable, details of your new vehicle.

Total Loss GAP Tip: If you’re changing cars, transferring your GAP policy can often save money compared with cancelling and starting fresh.