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Vehicle-replacement Gap review

Find out how vehicle-replacement Gap can help with the cost of replacing your car, and how much it costs.

In this article
What is vehicle-replacement gap insurance?
Vehicle-replacement Gap insurance reviewed

What is vehicle-replacement gap insurance?

Rather than helping you reach the amount you paid for your car, vehicle-replacement Gap bridges the difference between the amount you get form your car insurer and the cost of a new vehicle.

For example, if you bought a Honda Jazz for £13,258, but a year later had an accident and received only £10,000 from your car insurer and the car had gone up in price to £20,000, your vehicle-replacement Gap insurance would cover the difference. Only a contribution will be made towards your excess, though.

In most cases, Finance Gap insurance is also part of the package - meaning that outstanding payments on a loan used to pay for the car are covered in full.

Find out more: Gap insurance explained


Vehicle-replacement Gap insurance reviewed

When you buy a car - either in cash or using finance - the car dealer will probably recommend buying their Gap product along with it. However, Gap insurance bought through dealerships is often heavily overpriced, and shopping around could potentially save you hundreds.

The table below shows the cost of vehicle-replacement Gap insurance for three different cars bought brand new, and the features of the different third-party Gap insurance policies. These include:

  • Excess - how much your Gap insurance policy will pay towards your car insurance excess
  • Maximum level of cover - how much cover you can take out
  • Cover availability - how long you can take out the Gap insurance for
  • Age of vehicle - the age limit of the vehicle that each Gap insurer will cover
  • Maximum value of vehicle that each Gap insurer will cover
  • Finance - whether the Gap will cover your outstanding payments for your car if you bought it on finance

The premiums quoted are for a brand new car, for three years of cover. All quotes were updated in July 2018.

Provider Premium (Fiat Punto £9,537) Premium (Honda Jazz £13,258) Premium (Audi Q3 £25,116) Amount towards your insurance excess Max level of cover Cover available for (years) Max age of vehicle (years) Max value of vehicle Covers car finance
ala.co.uk £126 £173 £226 £250 £50,000 1-5 10


More info

Vehicle must have covered fewer than 80,000 miles at policy start date

£125,000 Yes
car2cover.co.uk £119 £161 £209 £250 No limit


More info

No claims limits for vehicles costing up to £75,000. Choice of claims limits for vehicles up to £125,000

1-5 10 £125,000 Yes
click4gap.co.uk £171 £187 £235 £0 £25,000 1-3 3 months


More info

Vehicle must have covered fewer than 500 miles at policy start date

£50,000 Yes
directgap.co.uk £129 £169 £219 £250 No limit


More info

On vehicles up to £50,000. £30,000 limit for vehicles over that amount

1-5 n/a £75,000 Yes
gapinsurance.co.uk £148 £148 £187 £250 £100,000 1-5 10 £150,000 Yes
shortfall.co.uk £99 £103 £167 £750 £50,000 1-4 n/a


More info

Vehicle must have covered fewer than 80,000 miles at policy start date

£150,000 Yes
totallossgap.co.uk £95 £105 £158 £250 m/a 2-5 8 £75,000 Yes
warrantydirect.co.uk £164 £164 £164 £500 £50,000 1-4 3 months £125,000 Yes



More info

Covers PCP and Hire Purchase; not Lease Purchase