0330 221 0000 Monday - Friday 8.30am - 8.00pm Saturday 9.00am – 5.00pm

Can’t find what
your looking for

What is GAP Insurance?

Guaranteed Asset Protection insurance more commonly known as GAP insurance is an insurance product that helps you cover any shortfall between your insurance provider’s payout and your remaining payments on a finance agreement.

There are a number of different types of GAP insurance but if you are leasing a vehicle then it would be lease GAP insurance that you need.

Taking out a GAP policy can help reduce the worry for you at a stressful time for you.

How Does It Work?

In the unfortunate circumstances that your car is involved in an accident or fire and is damaged beyond economical repair or is stolen and unrecoverable then your vehicle insurer will pay out a sum for the vehicle value at the time that it is written off. This amount will take into account the age, condition and mileage on the vehicle.

Your finance company will also send you a settlement letter which will confirm the amount owed to them for the remainder of the lease rental payments.

Where there is a gap between the amount that your insurance provider value the vehicle at and the amount the outstanding payments come to your GAP policy would then come into play.  It should cover the difference between these two amounts that otherwise you would be expected to pay.

You will just need to contact your GAP provider if your car is written off to start a claims process. They will then be able to talk you through the process and advise you on what you need to do.  

Other Things to Consider:

When taking out GAP insurance there are a few things you will need to take into consideration.

GAP insurance is separate to your standard comprehensive car insurance and works alongside this not instead of it. You will still need to insure the vehicle if you take out a GAP policy.  

The vehicle will need to be maintained in accordance with your manufacturer’s service schedule.

Please also be aware that your GAP insurance provided may not cover the below:

  • Any circumstance giving rise to a claim which is known, or could reasonably be expected to be known, by the policy holder before the commencement date.
  • Any arrears in the leasing or insurance payments.
  • Any excess mileage charges or reconditioning cost.
  • Any VAT element of the credit or finance agreement.
  • Any excess or contributions required by the insurance company following a valid claim under the policy.


Do I have to have GAP?

No, it is not compulsory to take out GAP insurance on a lease with Car Lease Special Offers. It is up to you if you would like to take out a GAP policy.

When can I take Gap out?

You can take out GAP insurance at any point up to delivery of your lease vehicle.

If you have taken delivery of your car and then decide you would like to take out a GAP policy then please get in touch with our Customer Services Team on 01722322888 and they will look into if this is possible for you.

Who provides your GAP insurance?

We work with a third party insurance provider called Business Insurance LTD to be able to offer you GAP insurance.

When you place your order we will ask you to confirm if you would like to be contacted by them. If you do we will then instruct Business Insurance LTD to contact you directly to discuss the policy they can provide for you. 

What’s the cost?

The cost of GAP insurance varies between suppliers if you are looking at different policies across the market. 

Our partner Business Insurance LTD will confirm the cost of a policy for you when they discuss the insurances they are able to provide.

If you would like any more information on GAP insurance for your next lease car please contact our Customer Services Team on 01722 322888 (option 3).

Peace Of Mind

Check out one of our helpful guides or our explaination of leasing to get all your questions answered.

View Our FAQs

Guides Homepage

Latest News

Get the latest news and blog posts from us.

View all News

Your Guide To Car Leasing

Fill in your details below to get your free copy

Who we work with

lease plan

Subscribe to our newsletter