Our Gap Insurance Services

Finance/Contract Hire

Pays the difference between the motor insurers settlement and the outstanding Finance Balance. Suitable for HP, PCP, Lease and Contract Hire Vehicles.

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Return to Invoice +

Pays the difference between the motor insurers settlement and either the invoice price or the amount outstanding on finance whichever is the highest.

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Vehicle Replacement +

Pays the difference between the motor insurers settlement and the cost of a replacement vehicle matching the original specification, age, mileage or the amount outstanding on finance whichever is highest.

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Monthly Payments Available

Pay in 12 monthly instalments | Available on Gap Insurance Policies

Call our payments team to find out more on

01422 756 100

Mon-Fri 9am-6pm, Sat 10am-4pm

What is gap insurance and how does it work?

Gap insurance covers the difference between your insurance offer at the point your car is written off or declared a total loss and the value of your car when you bought it.For example, if you purchased a car for £20,000 and it was worth £8,000 at the time it was written off or stolen, your gap insurance would cover the shortfall of £12,000. It would also cover any outstanding finance payments, plus – for some enhanced policies – any additional costs needed to get you back on the road with a car to the same specification as when it was purchased. Taking out gap insurance is important because cars depreciate over time and your motor insurer will value it in line with depreciation. If your car is written off, your motor insurance policy only covers your vehicle to its value at the point it is declared a total loss. This can be substantially less than outstanding finance commitments, the price you paid for your car and the cost of getting back on the road in a car with a similar specification.

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Why choose Direct Gap?

"5" Star Rated Insurance with a 30 day money back guarantee

Unlimited Claim Limits on vehicles up to £50k

Free policy transfer on RTI and VRI

Deferred start date option for new vehicle purchases

Cover for ALL named drivers on your policy

No mileage restrictions during life of policy

Policy amendments for registration number & address changes

Commitment to settle your claim within 10 days

Credit card payments, no additional fees

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See what our customers are saying about us

C Cowen 11 May 2014

5

Dealer quoted £299, whilst Gap charged me only £90 for the same 3 year policy, £30 per year for piece of mind must represent a great deal....

Louise 10 Feb 2014

5

Very easy to understand policies and quick purchase process.

Trudy Leppard 7 Apr 2014

4

Easy to use website - clear details on what is/is not covered. Concise choices for the type of cover you may need. Recommended by a friend - good value for 3 years peace of mind

Dioanne 30 Sep 2015

5

Love this service always recommended to all my friends.

joseph babalola 17 Feb 2017

5

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Mrs Karen Higham 21 Oct 2015

5

Clear explanation, easy to obtain quote, apply. Thankyou

Mr J Millar 3 Oct 2016

5

great process and well explained throughout that process. Tops!

Rob Morrison 30 Mar 2014

5

Excellent price, a third of manufacturers quote.

andrew Rigby 19 Nov 2019

5

First class. This is the second time I have used this company.

r golder 27 Feb 2018

5

have used your company for the past 2 vehicles. Having the policy give me peace of mind knowing if anything should happen I am covered.

D Patel 4 Feb 2019

5

Value for money comprehensive GAP policy & transferrable!

Andy Cast 23 Mar 2014

5

Easy and well explained.

Mr K White 20 Jun 2014

5

We have never needed to claim yet, but it is a small price to pay for peace of mind. Keep up the good work.

robert pearce 20 Dec 2013

5

A competitive price
A friendly and easy to understand web site
The security of FSA
The only site offering 5 years cover 

Carl Sparrow 3 Jul 2019

5

Quick and easy to apply and good price in comparison to others

paul danby 12 May 2014

5

straightforward and easy process.

mr d j nicholson 24 Oct 2014

5

quick and easy system helpful with information when phoned, friendly service

Peter G 18 Apr 2019

5

Good service, spoke to James who was very knowledgeable and completed policy online.

Chris Taylor 17 Dec 2013

5

Great price and service.

Patsy 7 Feb 2019

5

Easy to use and the good reviews made me feel confident using them

Paul Burley 21 Mar 2019

5

Dealer wanted £500 for the same cover!

Amanda Williams 20 May 2014

5

Great help thank you! Ray!

Daniel Vyhnanek 16 Jan 2019

5

Hi I hope wont need it but so far lady on the phone was so friendly, I was so surprised . Thank you

Sharron Jones 1 Feb 2014

5

Website is very clear and easy to use.

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We also offer additional insurance for the following:

Tyre Insurance

Covers the cost of the replacement or repair of the tyres fitted to your vehicle that have sustained either accidental or malicious damage.

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Scratch & Dent Insurance

Scratch & Dent Insurance covers the cost of parts and labour to repair your vehicle in the event of minor accidental damage to the bodywork.

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Alloy Wheel Insurance

Alloy Wheel Insurance covers the cost of repairing accidental damage which has occurred to your Alloy Wheels.

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Should I buy Gap Insurance?

Gap Insurance may not be suitable for everyone, but it could be more than worthwhile if:

  • The car you bought is due to depreciate quickly. If you were to suffer a total loss, its value may be dramatically reduced from the point of purchase, meaning your motor insurer’s pay-out would leave you with a significant cash shortfall and you’d be unable to replace the vehicle on a new-for-old basis.
  • You’re on a long-term contract hire. If you’re paying back your debt slowly, the payment you receive from your motor insurer following a total loss may not be enough to cover the amount you owe to the hire company.
  • You owe a balloon payment. Sometimes, the details of your finance deal might mean you are left with a large lump sum to pay to the hire company at the end of the agreement. This is known as a balloon payment and taking out a gap insurance policy can help you to cover this without falling into financial difficulty.

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When wouldn’t I need Gap Insurance?

Not everyone will need Gap Insurance, however. For example, it may not be required if:

  • Your car is brand new. Many motor insurers offer a replacement of your vehicle within the first 12 months of ownership. Even in that instance, it may still be worth considering taking out a Gap Insurance policy and deferring the start date by 12 months. However, it is worth noting that your policy must still be bought within 180 days of you purchasing the car, even if you are deferring.
  • You’ve put down a large deposit. If you’ve been able to come up with a sizeable down payment for your vehicle, you will minimise the possibility of being left with a large shortfall on the finance agreement and there may be no need to take out a Gap Insurance policy.
  • You can afford to make up the difference. If you’re fortunate enough to be able to cover the difference between the cost price and the value of the car, Gap Insurance may not be necessary for you.

What are the different types of Gap Insurance?

Here at Direct Gap, we pride ourselves on our ability to offer a tailored Gap Insurance policy that’s perfectly suited to you and your needs. To that end, we offer a range of different products designed to meet your specific requirements:

  • Finance/Contract Hire: If your vehicle is declared a total loss, this type of Gap Insurance will pay the balance between your motor insurer’s settlement and the amount you have left to pay on your finance agreement. It includes all drivers on your policy, you can be covered for one to five years and it also provides protection of any factory fitted options you may have added to the vehicle.
  • Return to Invoice +: Should your car be written off in an accident or stolen, our Return to Invoice + policy will pay the difference between the settlement you receive from your motor insurer and the amount you paid for the car in the first place. This policy is applicable to both new and used cars, is transferrable free-of-charge and we also offer a 30-day money back guarantee.
  • Vehicle Replacement +: With this policy, our pay-out will cover the difference between your insurer’s settlement at the point of total loss and the cost of a replacement vehicle matching the cars original specifications. Our Vehicle Replacement + policy will cover any dealers discounts as well as any increase in the cars list price.
  • Agreed Value: Should your car be declared a total loss, our Agreed Value Gap Insurance will pay the difference between your motor insurer’s settlement and 100% of the Glass’s Guide retail price at the time you bought the policy. Our Agreed Value insurance provides cover for one to four years, is transferrable for free and protects you if your vehicle is lost through the theft of your keys.

How much is Gap Insurance?

There is no set fee for gap insurance, as your quote will vary depending on the original price of your car and the length of policy you wish to take out. For example, a five-year policy on a car costing £20,000 will come at a higher premium than a one-year policy for a £10,000 car. What we can guarantee at Direct Gap is that your policy will come at a highly competitive price and the service you’ll receive from our expert and friendly team will be second to none.

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Are there any exclusions?

There are some circumstances in which your Gap Insurance would not cover you, or in which you would be unable to take out the policy in the first place. These include:

  • Driving under the influence: If the total loss of your car is caused by the driver of your vehicle being under the influence of drugs, alcohol or prescribed medication (where the person in question has been advised against getting behind the wheel by a medical professional), your Gap Insurance policy will be void.
  • Negligence: If your car is stolen due to negligence on your part, for example if you leave the keys in the vehicle, your Gap Insurance will not cover you.
  • Hire and reward schemes: If you are a taxi driver, haulier or courier, for example, our gap insurance products will not be applicable to you.
  • Vehicle age and mileage: Any car over 10 years old or with more than 100,000 miles on the clock at the time of purchase will not qualify for Gap Insurance.

Why choose Direct Gap as your Gap Insurance provider?

So, you’ve purchased your new car and you’re seeking a robust gap insurance policy at a reasonable cost. Here are just some of the many reasons why Direct Gap is perfect for you:

  • Superb value: We offer a range of fully featured products at affordable prices, and we can save you up to 75% on your car gap insurance policy in comparison to other dealers.
  • Excellent service: Service is extremely important to us and we’re really proud of the feedback we get from our customers. We think that’s because we don’t run a call centre. We are a professional team of trained specialists, who know about cars, gap insurance and motor finance. If you ever have to make a claim, it will be handled by the same trained professionals, quickly and efficiently. Furthermore, our team receive no commission from sales so you can be sure they’re acting with your best interests in mind. But don’t just take our word for it – our customer testimonials speak for themselves.
  • Commitment to quick settlement: We’re happy to say that the average time to payment, once your insurer has made an offer of settlement and the paperwork is in place, is just seven days. Whatever the particulars of the case, we’ll commit to settling your claim within 10 days.
  • Unlimited claims limits: On vehicles up to £50,000, you’ll qualify for our unlimited claim limit policies.
  • Flexibility to defer or transfer: If you’ve purchased a new vehicle, your motor insurance may cover you for a total loss within the first 12 months. If that’s the case, you can defer your gap insurance policy with us for a year, completely free of charge. Alternatively, for return to invoice and vehicle replacement policies, you are entitled to a free transfer should you decide to change your car.
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Need help? Read our useful guides:

Why Direct Gap?

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What is Gap Insurance?

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General Exclusions

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Which Gap Policy?

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