Protect your vehicle with GAP Insurance
GAP insurance (Guaranteed Asset Protection), also known as Vehicle Shortfall Insurance (VSI) covers the difference between your motor insurer’s payout and what you paid for your car or still owe on your finance agreement if your vehicle is written off or stolen.
GAP Insurance from APG Cover
GAP insurance - Protecting your vehicle investment
At Mon Motors, we’re pleased to offer car GAP insurance through APG Cover, part of the AutoProtect Group. Also known as Guaranteed Asset Protection or Vehicle Shortfall Insurance, this specialist cover is designed to protect you financially if your car is written off or stolen.
If your vehicle is declared a total loss, your standard motor insurance will typically only pay out the current market value at the time of the claim. This amount is often less than the original purchase price or the remaining balance on your finance agreement.
Car GAP insurance bridges that gap, covering the difference between your insurer’s settlement and either the amount you paid or the finance you still owe. It offers peace of mind, especially for customers with PCP or other finance plans, by ensuring you're not left with outstanding payments for a car you no longer have.
Ask about GAP Insurance during your next vehicle purchase from any of our Mon Motors dealerships.
How does car GAP insurance work?
If your vehicle is declared a total loss, whether due to theft or a serious accident, your motor insurer will typically pay the current market value of the car at the time of the claim. This amount may not reflect the price you originally paid or the outstanding balance on your finance agreement, potentially leaving you with a financial shortfall.
For example, imagine you bought your car two years ago and still owe £20,000 on your finance agreement. If it’s written off and your insurer values it at £15,000, you’re left with a £5,000 shortfall. Money you still have to pay though the car’s no longer yours.
Even if you paid for the car in full, you could still face a similar gap between what you originally paid, and its value and what your insurer is willing to cover, potentially making it harder to replace your vehicle with one of a similar value and specification.
With car GAP insurance, this £5,000 shortfall is covered, ensuring you’re not left out of pocket and can fully settle the remaining balance on your finance agreement, or use it to help you purchase your next car.
Reasons to purchase car GAP insurance:
- Covers the shortfall between your insurer’s payout and what you originally paid or still owe
- Ensures you're not left repaying finance on a car you no longer have
- Helps settle any finance in the event of a total loss
- Protects cash buyers from losing the difference between the original price and the market value
- Eases the financial pressure of replacing your vehicle like-for-like after a total loss
Adding protection to your PCP agreement
GAP Insurance and PCP Finance
If you’ve chosen a Personal Contract Purchase (PCP) agreement, car GAP insurance can offer valuable protection. PCP agreements typically come with lower monthly payments, as a significant portion of the car’s cost is deferred until the end of the term as an optional final payment, a larger sum you can choose to pay if you want to keep the vehicle.
If your vehicle is written off or stolen before the agreement ends, your motor insurer will usually only cover the car’s current market value. This may not be enough to clear your remaining finance amount, especially if you’re still early in the agreement or approaching the final payment.
GAP insurance covers the difference between your insurer’s payout and what you still owe on the agreement, so you’re not left paying for a car you no longer have. It helps you clear your finance and puts you in a better position to replace your vehicle.
Speak to your local Mon Motors dealership
Get a GAP insurance quote today
Looking for the best GAP insurance cover for your next vehicle? At Mon Motors, we work with APG Cover, part of the AutoProtect Group, to offer protection that covers the financial gap if your car is written off or stolen.
GAP insurance can be added to any car purchase at our Mon Motors dealerships in Bath, Bristol, Cardiff, Cheltenham, Gloucester, Merthyr Tydfil, Newport, and Weston-super-Mare (excludes commercial vehicles). You can choose to pay for your GAP cover in full, or spread the cost with 12 manageable monthly payments.
Our team will guide you through how the cover works, explain how it relates to your vehicle purchase or finance agreement, and provide a personalised GAP insurance quote based on your vehicle’s value and the duration of cover.
Can I buy GAP Insurance after I’ve purchased my car?
The GAP insurance product we offer through APG Cover is available for eligible vehicles up to 180 days after purchase, as long as the vehicle is no more than eight years old at the start of the policy. While any shortfall may be smaller on older vehicles, it can still leave you covering costs for a car you no longer have, which could affect your ability to replace it for a similar vehicle should it be written off.
Speak to your local Mon Motors dealership to check if your vehicle qualifies, and to get a personalised quote.
Do I need GAP insurance if I bought my car on PCP?
While it’s not a requirement, GAP insurance is a wise option for those with PCP agreements. If your car is written off or stolen, your insurer may not cover the full amount still owed on your finance agreement, including any optional final payment. GAP insurance helps cover this shortfall, reducing the risk of unexpected costs.
Paying in full? See ‘Should I still consider GAP cover if I paid cash for my vehicle?’
Should I still consider Gap cover if I paid cash for my vehicle?
Yes, even if you paid in full, GAP insurance can still offer valuable protection. In the event of a total loss, your motor insurer is likely to only cover the vehicle’s current market value, not the full amount you originally paid. That means you could lose a significant portion of the money you invested. GAP insurance helps protect that loss, so you're not left out of pocket and can purchase a replacement vehicle.
Planning to purchase with finance? See ‘Do I need GAP insurance if I bought my car on PCP?’
How much does GAP Insurance cost?
The cost of GAP insurance depends on the value of your vehicle and the duration of cover. At Mon Motors, we can provide a personalised quote when you purchase your car through our partners at APG Cover.
Simply visit or call any of our dealerships across South Wales and the South West of England to find out more.
Does GAP Insurance cover theft and accidents?
Yes, GAP insurance from APG Cover applies if your car is written off due to theft, fire, flood, accident, or any other total loss situation where your vehicle insurer deems the vehicle irreparable or unrecoverable.
T&Cs apply, see policy wording or visit www.apgcover.co.uk for more information.
What information do I need to make a GAP insurance claim?
To ensure your claim is processed smoothly, you’ll need to provide APG Cover with the following details:
- The reason for the total loss (e.g. theft, accident)
- Your original car purchase VAT invoice, showing the invoice number, purchase date, your name and address, vehicle details, and the full purchase price (including any extras)
- Proof of premium payment, this is usually provided by the retailer or listed on your finance agreement
- A valid crime reference number (if the vehicle was stolen), provided by the Police
- The finance settlement details from your lender, including the outstanding balance, remaining term, and any interest charges, this must be submitted within 30 days of the incident
If you're waiting on any of the above documents, you should still report your claim as soon as possible and send the remaining details once received.
Ready to begin? See ‘How do I claim on my GAP insurance policy?’
Terms & conditions
The vehicle will not be eligible for cover if it's more than eight years old or valued at more than £150,000, or it does not appear in Glass’s Guide. Cover not available on vehicles over 3,500kgs, commercial vehicles, or vehicles that are designed to carry more than 10 people. If the vehicle is not covered by a comprehensive motor insurance policy, or the driver of the vehicle at the time of the loss is not listed as a named driver on the motor insurance policy, any claim made will not be valid. The policy will not provide cover if the driver of the vehicle at the time of loss does not hold a valid driving license, or is intoxicated, or is under the influence of non-prescription drugs.
Full details are in the policy wording. Insurance Product Information Documents (IPID) for GAP insurance can be found here.
For more information please visit www.apgcover.co.uk or telephone 0208 543 6006. APG Cover is a trading name of Future 45 Limited, Warwick House, Roydon Road, Harlow, Essex CM19 5DY. APG Cover is authorised and regulated by the Financial Conduct Authority FRN 461102 to undertake insurance distribution. You can check this on the FCA’s website at www.fca.org.uk. APG Cover, part of the AutoProtect Group, acts on behalf of Acasta Europe Limited.