Contract Hire Plus GAP Insurance
What is Contract Hire Plus GAP Insurance?
Contract Hire GAP Insurance will, in the event of a total loss claim (accident, theft, fire or flood damage), cover up to 100% of the outstanding rental payments for the vehicle and cover any shortfall in the market value settlement provided by the insurer.
For an additional premium you can now also protect the initial rental/deposit you paid at the start of your agreement, up to a maximum of £3,000. This means that if your vehicle is declared a total loss, as well as clearing your outstanding payments with the finance company you receive an additional settlement for the upfront payment.
Do I need Contract Hire Plus?
The answer to this is yes, if you want to:
- Cover your liability under the contract hire agreement if your vehicle is a total loss
- Be able to get a new vehicle on a new agreement with no debt from the previous agreement
- Receive back your deposit/initial rental (if you select Initial Rental cover)
Can I buy Contract Hire Plus?
The answer to this is yes if:
- You have a lease or contract hire agreement, with no option to buy at the end of the agreement
- Your vehicle was collected in the last 365 days
- Your vehicle is not excluded as follows: Taxi, mini cab, driving tuition vehicle, courier or delivery vehicle of any type or any private or public rental vehicle or any rally, competition or off-road vehicle of any type. Please see our full exclusions to check your vehicle isn't on the list.
Any Commercial Vehicle over 3500kg, Motorcycle, Motor Scooter or Moped. Any left hand drive vehicle and a vehicle which does not meet UK or EC approval or is not commercially available in the UK direct from a manufacturer or its authorised importer or dealer. Any taxi, mini cab, driving tuition vehicle, courier or delivery vehicle of any type or any private or public rental vehicle or any rally, competition or off-road vehicle of any type.
Contract Hire GAP Insurance Cover Features:
- Available up to 5 years for vehicles on lease or contract hire
- We are fully authorised and regulated by the Financial Conduct Authority (FCA) and your policy has cover under the Financial Services Compensation Scheme
- Pays up to £250 or £500 of your Comprehensive Insurance excess (dependent upon underwriter and confirmed at time of purchase)
- If you select Initial Rental Cover the policy will also ensure you recover your initial rental payment, up to a maximum of £3,000
- Cover available for up to 365 days after delivery of vehicle
- Any amendment made FREE of charge
- Policy transfer – pro rata transfer of unused premium if you change your vehicle, with no admin fees
- Discount available for renewal and additional policies
- We guarantee to match any comparable online GAP quote
- This policy will pay up to 100% of outstanding rentals and any shortfall in the vehicle value - *see illustration below
Contract Hire GAP Insurance Cover Example:
|Your vehicle purchase price:||£20,000|
|Your comprehensive market value insurance payout:||£10,000|
|The amount owed to the contact hire finance company to end the finance agreement:||£18,000|
|Our Contract Hire Plus payout:||£8,000|
|Comprehensive insurance payout + ALA GAP Insurance payout =||£18,000|
|(Leaving you clear of any owed finance on your vehicle)|