Combined Guaranteed Asset Protection (GAP) Insurance

Written off but not paid off? Don't keep shelling out

What if?

Due to an accident, fire or theft, your motor insurance company declares your car a write-off. Nightmare. And what if you used a finance agreement to buy a car that's declared a write-off before you've paid back all you owe? You may have to pay any outstanding monthly payments in one lump sum, on a vehicle you can no longer use!

Unless you're covered by Combined GAP from Direct Cars.

Available for just £299 for up to 60 months

Benefits

In the first 36 months of cover

In the event of a motor insurer declaring the insured vehicle a total loss due to a fire, an accident or theft of the insured vehicle, the policy will pay the greater of:

Vehicle Replacement

The amount by which the purchase price exceeds the comprehensive motor insurance settlement.

Financial Shortfall

The amount by which the finance agreement settlement figure exceeds the comprehensive motor insurance settlement including negative equity up to a maximum of £3,000.

36-60 months

The need for Financial Shortfall cover after month 36 is significantly reduced due to the balance of your finance and depreciation of your vehicle. Therefore cover provided after this period is at no additional cost!

The purchase price is the amount paid to purchase the insured vehicle, so excludes road fund licence, delivery charges, cherished number plate transfers, dealer fitted accessories etc.

Real peace of mind

Finance GAP from Direct Cars is designed to relieve any anxieties you may have about buying a car. One of our Business Managers can tell you all you need to know about the product, so please don't hesitate to ask.

FAQs

Where am I covered?

The vehicle is covered in the UK, Isle of Man, and Channel Islands. Cover is extended whilst driving the insured vehicle in countries of the European Economic Area subject to your comprehensive motor insurance being extended during such period.

Is there a maximum amount Finance GAP will payout?

Yes. The original purchase price of your car is the maximum amount.

Can the policy be transferred if I replace my car?

Yes, as long as the vehicle you replace it with comes within the price range specified in your schedule. In which case the remainder of your policy term may be transferred to a replacement vehicle. There may be an administration fee to pay and all transfers are subject to terms and conditions.

What are my obligations?

As with any insurance policy, there are some things you must do:

You must contact the GAP provider before accepting any offer made by your comprehensive motor insurance.
When applying for or varying this policy or submitting a claim, you or anyone acting on your behalf must take reasonable care to answer all questions honestly and to the best of your knowledge. Failure to do so may affect the validity of your policy or the payment of claims.
When you purchase this policy, you authorise the Administrator to pay any financial shortfall benefit directly to your finance company. If there is any sum still owing on your Finance Agreement after your claim has been settled, it is your responsibility to ensure that settlement of the amount is made.
You must notify the GAP provider as soon as possible if any of your details change during the term of the policy.

What is not insured?

Any American make of vehicle unless:
- It was manufactured as a right hand drive; and
- purchased from an authorised UK distributor and not imported directly
Grey imports: These are vehicles which have been imported into any EU Member State from a non-EU country that does not comply with European Community Whole Vehicle Type Approval (ECWVTA).
Vehicles used for hire and reward, driving school tuition, chauffeuring, road racing, track days (timed or untimed), rallying, pace making, speed testing or any other competitive event.
Emergency vehicles, taxis, courier vehicles, buses, coaches, trucks, motor homes, trailers, heavy goods vehicles, licensed private hire vehicles, daily rental vehicles, breakdown and recovery vehicles.
The insured vehicle is not covered by comprehensive motor insurance.
The insured vehicles is not a total loss or the comprehensive motor insurance provider has declined your motor insurance claim.
The comprehensive motor insurance provider offers to repair the insured vehicle and you request the claim to be dealt with on a total loss basis.
Any vehicle which has been modified other than in accordance with the manufacturers specifications.

Full details of exclusions can be provided by one of our Business Managers.

Are there any restrictions on cover?

Cover is only available for:
- Individuals ages 18 years or older and a resident in the United Kingdom, Channel Islands or the Isle of Man; or
- Companies that are registered in the United Kingdom, Channel Islands or the Isle of Man; and
- Private cars or light commercial vehicles less than 7 years old and the sole vehicle listed in the agreement with a purchase price of no more than £25,000; registered in the United Kingdom.
This policy does not cover any motor insurance excess.
Benefit is conditional upon you receiving a total loss payment under the comprehensive motor insurance.
You must purchase this policy no later than 30 days after purchasing the insured vehicle.
The insured vehicle was a new vehicle at the date of purchase and you are entitled to a replacement vehicle on a new for old basis under the terms of the comprehensive motor insurance. You will be entitled to transfer the remaining cover under this policy to your replacement vehicle (subject to full terms and conditions).
If the insured vehicle has not been serviced in accordance with the manufacturers recommendations, and this has resulted in the Comprehensive Motor Insurance underwriter(s) making a reduced total loss payment, we shall reserve the right to reduce the Financial Shortfall by the amount of such reduction.
Negative equity provided under the Finance Agreement (if any) which exceeds £3,000.
If you are covered by any other insurance or warranty for the same or similar benefit(s) provided under this policy then we will only be responsible for paying a fair proportion of any benefit which we would otherwise be due to pay.
If we pay financial shortfall benefit, we will not be liable for return to invoice benefit and vice versa.

For full details, please see the full policy Terms and Conditions.

When does cover start and end?

Return to Invoice benefit lasts for up to 36 months from the start date on your schedule and financial shortfall benefit up to 60 months from the start date on your schedule, subject to the duration of your finance agreement. It will end earlier in the event of:

you failing to pay your premium when due; or
the insured vehicle being sold, repossessed, disposed of by you or the finance company, or transferred to a new owner, other than in accordance with the terms and conditions; or
a claim being settled by us; or
your death during the policy term.

How do I cancel the contract?

You have the right to cancel the policy at any time. To cancel the policy withing 30 days, please notify us directly. If cancelling after 30 days, please contact GAP provider. Please see full terms and conditions on your policy for contact details. If the policy is cancelled within 30 days and there has not been a claim on the policy, a full refund of any premium will be paid. If the policy is cancelled after 30 days and no successful claim has been made on the policy, a pro rata refund, based on the number of full unexpired months remaining on the policy will be paid.
Important Notes:

A cancellation fee of £35 will apply when the policy is cancelled after 30 days from the start date on the schedule or receipt of policy terms.
Financial shortfall benefit is provided after month 36 at no additional cost; as such no refund will be due after month 36 of the policy term.