If your vehicle is written off or stolen there is a risk that the insurance settlement may not be sufficient to cover the outstanding finance owning to the vehicle. This is because vehicles tend to depreciate more quickly in the first year and then at a slower rate as they get older.
Finance GAP pays the difference between the market value, based on CAP Guide Retails at the time of loss or the insurance company settlement (whichever is the greater), and the outstanding finance on the vehicle up to a maximum of £5,000 or £10,000(subject to eligibility). In addition to this, we may also pay you up to £250 of your motor insurance excess in the event of a fault claim.
This is only a brief summary, full policy terms and conditions are available upon request