Gap Insurance is not necessarily always required in the first 12 months, for a brand new vehicle, because lots of Motor Insurance companies will now cover a brand new vehicle on a new-for-old basis for the first year.
That is to say that in the event that the vehicle is declared a Total Loss (AKA "Written Off") before it is one year old, they will replace the vehicle on a new-for-old basis.
You should verify with your Motor Insurance provider as to the exact conditions of such cover, but for the main part it's usually a case that it runs for one year from the date of first registration, so long as you bought the vehicle and were the first registered keeper.
After verifying the details of the New-For-Old cover from your Motor Insurer, if you are satisfied that it will sufficiently cover you in that first year, you can buy one of our Gap Insurance policies, but elect to have the policy start once the vehicle reaches 1 year old.
There's no charge for this, despite the fact that it effectively extends the Gap Insurance cover period. For example, if you buy a three year policy and elect to defer the start date by 12 months, rather than covering years 1, 2, and 3, the policy will actually cover you for years 2, 3 and 4 (so far as the age of the vehicle is concerned).
If, I renew my Motor Insurance to a policy with no New-For-Old cover, will I lose out?
No. You won't lose out. At any time within that initial 12 month period whilst you're waiting for your Gap Insurance policy to start, you can choose to bring the start date of the policy forward to present day. So if you renew your Motor Insurance to a policy with no New-For-Old cover, you simply tell us that you want the start date of your Gap Insurance policy to be brought forward.
To do this, you'd simply log in here and amend the policy start date as you require. Instantly and FREE OF CHARGE!
What happens to my Gap Insurance policy if my Motor Insurance provider replaces my vehicle new-for-old?
We transfer your Gap Insurance policy to your new vehicle. FREE OF CHARGE.