Gap Cover
Provides cover for exposure shortfalls following a Motor Total Loss caused by an accident, fire or theft.
There are a number of variants to this type of cover, but broadly it provides shortfall protection following a total vehicle loss to an auto vehicle, covering the difference between the cost of replacement vehicle versus the original vehicle or the remaining amount outstanding under a finance contract after an insurance pay-out.
There are various types of cover but generally they ether protect the customers financial shortfall exposure or their monetary shortfall exposure that occurs at the time of a vehicle total loss.