Deferred Start Gap Insurance 

"feeling lucky?"

Considering 'deferring' your Gap Insurance start date?

Our Gap Insurance policies cannot be deferred as doing so can leave you with risks.

Some motor insurers do not clearly or fully define the phrase first year ‘new for old’ and it's often very different from what the policyholder expects.

Here are a few of many examples our customers have reported - from some major insurance companies!


  • If the vehicle cannot be sourced from dealer stock and delivered within 3-6 weeks, the policy will only pay ‘market value’ at time of write off – and that is NOT new for old,

  • Some insurers have been known to give ‘new for old’ on the basic vehicle list price and this therefore excludes the cost of factory fitted options and dealer fitted accessories,

  • If the vehicle is stolen, only ‘market value’ applies, therefore new for old cover will not apply to theft.

  • If your motor insurance policy is due for renewal in that first year, will your motor insurer honour the ‘new for old’ arrangement?

  • If your motor insurance is due for renewal in that year and you intend to ‘shop’ around for a cheaper offer, do bear in mind the new insurer may not honour the ‘new for old’ because the vehicle was not insured with them from new,

  • If you are financing, will your motor insurer clear an outstanding finance balance if the balance exceeds the purchase price of the vehicle in that first year?

Contract Hire agreements

If you are using a Contract Hire agreement, Gap Insurance is important from day one of your agreement. In these agreements and in circumstances of write-off, your leasing company is almost certainly likely to be legally entitled to a) the insurance settlement from your fully comprehensive motor insurance and b) all or some of the rentals you had contracted to pay for the full period. This is because the vehicle is the leasing company's security. When their security no longer exists, most insurers will end your agreement and call in all monies due to them. This can leave you with a substantial debt - a debt the Contract Hire and Finance Lease Gap Insurance would contribute to or eliminate entirely. To confirm whether you are likely to have a 'financial loss' in the first year, simply ask your leasing company to put their answer in writing. 

Seek clarification and confirmation from your motor insurer - in writing.

We would encourage you to seek clarification from your motor insurer to enable you to fully understand what they will and will not pay for in the event of a claim in the first year. In the event of a write-off within the first year, if your motor insurer provides you with a new replacement vehicle and you do not need to make a claim against your Gap Insurance policy and you may transfer the policy free of charge to the replacement vehicle.

Please remember - all Gap Insurance polices we offer must be purchased and commenced within 90 days of taking delivery of your vehicle.


Click2protect UK Limited
trading as
The Officers' Mess
Royston Road

CB22 4QH

email :   

tel : 01438 870615

Call us Monday - Friday 9am - 5.30pm

or Saturday 10am - 2pm

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