Which sort of GAP Insurance policy do Nationwide Vehicle Contracts offer?
Our GAP Insurance policy is called Hire and Lease GAP insurance (also known as Finance GAP) and is specifically designed for vehicles on Contract Hire and Personal Contract Hire agreements.
A Hire and Lease GAP policy pays the monetary difference between the amount owed on a finance agreement (i.e. the lease) and the market value at the time of the claim. This leaves you with no liability to your old vehicle.
Hire and Lease GAP offers many advantages including:
- Up to £250 towards your own motor insurance excess
- Up to £2000 in advance rentals
- Fully insured temporary replacement vehicle for up to 30 days while your claim is settled
- Cover for dealer fitted accessories
- Cover for all named drivers comprehensively insured to drive the vehicle
Is GAP insurance compulsory when leasing a vehicle with Nationwide Vehicle Contracts?
GAP insurance is an optional product and is not legally required when you lease a vehicle with Nationwide Vehicle Contracts. Whether you choose to take out a GAP insurance policy is up to you however it is worth noting that you only have a limited amount of time to take out the policy. Please get in touch if you have any questions.
As with every type of finance product, it is important that you fully research the benefits and features and exclusions before taking it out to ensure it is right for you.
What should I consider before taking out GAP insurance?
A GAP insurance policy may not be suitable for everyone, therefore, it worth considering a few factors that may influence your decision.
Hire and Lease GAP insurance may not be suitable if:
- You took delivery of your lease vehicle more than 60 days ago
- You can afford to make up for any shortfall
What does GAP not include?
As with every type of finance product, it is important that you fully research the benefits, features and exclusions before taking it out to ensure it is right for you. It is also important that you ask questions on anything you do not understand or need any clarification on.
GAP insurance might not cover you for as much as you’re expecting:
- It won’t cover any amount deducted by your main car insurance company. This can include any unpaid premiums, salvage value or contributory negligence that may be deducted from your payout.
- GAP insurance will only cover excesses up to £250 of your claim.
- It will not cover any dealer fitted accessories unless specified on the relevant manufacturer's price list
- Any contribution towards a temporary replacement vehicle where you are entitled to a replacement vehicle under any other policy you hold or where you can recover the cost from a third party.
- It also does not cover road fund licence, new vehicle registration fee, delivery charge, administration fee, fuel, paintwork, and/or upholstery protection kits, insurance premiums (including this premium), warranty premiums, service plans and any previous negative equity.
- Any other deductions that may be made by the main car insurance company on payout that you accept, will not be covered.
How much does GAP insurance cost?
Nationwide Vehicle Contracts can offer Hire and Lease GAP insurance from as little as £199 for up to £15,000 worth of cover. This premium price provides cover for the full term, is not annually renewable and includes Insurance Premium Tax.
You can choose to pay for the GAP insurance premium as one lump sum or by 10 monthly direct debit instalments. If you wish to pay for the premium in full, this is payable by debit or credit card or by BACs payment.
More details about Gap Insurance can be found on our GAP Insurance FAQ Page.
Looking to lease a vehicle? Nationwide Vehicle Contracts offer various car leasing services to suit your every need, such as our fast car lease service which comes with a delivery time of three to four weeks (times may vary).