Does GAP Insurance Apply If I Drive Abroad?

Yes, GAP Insurance can still apply if your car is written off while you are driving abroad, as long as you stay within the time limits set out in your policy.

 

In most cases, this also depends on your motor insurer providing the same level of comprehensive cover while you are outside the UK. If your motor insurance remains valid, your GAP Insurance will usually follow.

 

GAP Insurance works alongside your motor insurance, so the key question is whether your motor insurer continues to cover you abroad on a comprehensive basis.  

 

If they do, your GAP Insurance will normally remain in place under the same conditions. If they don’t, your GAP cover won’t apply either.

 

There may be restrictions on which countries you are covered in; these are normally detailed in the Geographical or Territorial Limits section of your policy terms. These normally include EU member states plus the likes of Iceland, Norway, Andorra, Switzerland and Liechtenstein.

Most GAP Insurance policies include a time limit for driving outside the UK. A typical limit is up to 90 days per annum.

 

If you stay within that limit, your cover continues as normal. If you go beyond it, your GAP Insurance may no longer apply while you are abroad.

The process is essentially the same as it would be in the UK. Your motor insurer assesses the claim and, if the vehicle is declared a total loss, pays out its market value at the time.

 

Your GAP Insurance then covers the difference between that payout and your original vehicle value, depending on the type of policy you hold.

 

The fact that the incident happened abroad does not change how the GAP settlement is calculated.

There are a few situations where cover may not apply, and they almost all come back to the same point....your motor insurance.

 

If your motor insurer does not provide comprehensive cover abroad, declines the claim, or your time abroad exceeds the limit in your policy, your GAP Insurance will not step in.

 

This is why it’s important to check both policies before you travel.

If you take your car to France for a two-week trip and your motor insurer provides full comprehensive cover, your GAP Insurance will normally remain valid.

 

If the vehicle is written off during that trip, your motor insurer would pay the market value, and your GAP policy would cover the shortfall, provided all policy terms are met.

GAP Insurance is designed to protect the difference between your vehicle’s value at the time of a claim and what you originally paid, its replacement cost or what you may owe on a lease. It is dependent on which type of GAP Insurance you have. .

 

That calculation stays the same whether the loss happens in the UK or abroad. The key factor is simply whether your cover remains valid at the time.

 

If you want a full breakdown of how this works, see our GAP Insurance 101 guide.

GAP Insurance can apply abroad, but only if your motor insurance remains valid and you stay within the time limits set out in your policy.