Lease/Contract Hire Gap Insurance

If you got your car through a lease or contract hire arrangement and it’s later written off or stolen, the settlement your motor insurer will pay you will generally only reflect the market value of your car on the date of its loss. They will not factor in any early settlement penalties, interest or other charges that may be added to your finance account balance… nor will they consider depreciation. The balance of the finance account after your motor insurer settles is what you’ll be liable to pay yourself.

Your APG Cover Lease/Contract Hire Gap Insurance will cover this shortfall. In addition, you can expect your claim to be paid out directly to you within a matter of days.

Your Lease/Contract Hire Gap Insurance cover will also provide:

  • Up to £2,500 towards your first three monthly rental payments
  • 30-day, no risk, money-back guarantee
  • Up to £250 towards motor insurance excess
  • Up to £1,500 in dealer-fitted accessories
  • Cover for any driver named at no extra cost
  • Cover if your vehicle is stolen with the keys

Lease Contract Hire Policy Wording

Lease Contract Hire Insurance Product Information Document (IPID)

If you’d like a copy of your existing policy wording, please email us at or call us on 0208 543 6006 during office hours.


How do I make a claim on my Gap Insurance policy?

Our specialist claims managers, AutoProtect (MBI) Ltd. Have been appointed to provide you with an efficient and effective claim experience.

To register your claim, please follow the process that works best for you:


  • Download the AutoProtect App on your smartphone by searching “AutoProtect GAP”.


  • Text the word APAPP to 88802 and you’ll receive a download link via SMS (texts are charged at your standard network rate).

For more information, please click here. Link to claims page.

Will I still be covered if I’m at fault?

As long as you have motor insurance cover and your insurer declares your car a total loss, you will be covered by your Gap Insurance, irrespective of whether you are at fault or not.

You can check out the terms and conditions for full details.

Lease/Contract Hire Gap Insurance Policy Wording

If you’d like a copy of your existing policy wording, please email us at or call us on 0208 543 6006 during office hours.

Does my Gap policy cover my motor insurance excess too?

Your APGCover Gap Insurance will pay up to £250 of your motor insurer excess.

Will I be covered if my car is stolen with the keys?

If the keys are taken from a secure place such as inside your home or office, the total loss will still be covered. If the keys are left unsupervised in your car however, then the vehicle would not be a total loss under your motor insurance policy and your Gap cover would not apply.

When would my Gap cover not pay a claim?

Your APGCover policy will pay all valid claims however, there are a few circumstances in which a claim will not be considered valid:

  • If an uninsured person was allowed to drive the car
  • The driver was under the influence of non-prescription drugs or alcohol
  • The car was being used for illegal activity
  • Instances of fraud or wilful negligence

Your policy document details the full list of exclusions. 

Lease/Contract Hire Gap Insurance Policy Wording

What is the vehicle purchase value?

This is the price you paid for your car, including all the factory-fitted accessories, and after any discount and deposit paid, but excluding any registration fee, fuel, insurance premiums, service plan, delivery charges, paintwork and upholstery protection kit, insurance and warranty premiums you may have included, any finance arrears and associated costs, and any negative equity.

Can I cancel my Lease/Contract Hire Gap cover?

Should you decide that this cover isn’t what you want, you can cancel with a full premium refund during the first 30 days, so long as you haven’t made a claim, or don’t intend making one.

If you decide to cancel after the 30 days, you will be eligible for a pro-rata refund, under the same conditions.

Who is the insurer of this policy?

Red Sands Insurance Company (Europe) Limited, who are registered in Gibraltar (87598) and are licenced by the Gibraltar Financial Services Commission are the insurers of your policy.