Return to Invoice Gap Insurance: How it Works

Return to Invoice Gap Insurance
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Gap insurance is an optional insurance policy that assists in the repayment of your car loan if your vehicle is wrecked, written off or stolen and you owe more than the vehicle’s depreciated value. This coverage, however, is only available if you are the original loan or leaseholder on a new vehicle. Furthermore, Gap insurance covers the difference between the depreciated value of your car and the amount you still owe on it. 

In this post, we’ll discuss everything you need to know about Gap insurance, Return to Invoice quote and Vehicle replacement cover

Return to Invoice Gap Insurance And How it Works

Return to Invoice (RTI) is a common form of GAP insurance. It pays the difference between the amount you receive from your auto insurer and the amount you originally paid for your vehicle if your car is written off. To put it another way, this insurance policy will cover the difference between the comprehensive insurer’s market value settlement and the original vehicle invoice price or the financing settlement number, whichever is larger at the time, in the event of a total loss.

For example, return to invoice GAP insurance would cover the £6,000 difference if you initially purchased £14,000 for your new car but your auto insurer only paid out the current market value of £8,000.

In addition to your usual car insurance, you can get RTI GAP insurance when you buy your new vehicle. To acquire Return to Invoice GAP insurance, you’ll usually have to buy it within a particular amount of time after buying your car. This time restriction would be determined by each insurer’s rules.

If your car insurer declares your vehicle a total loss, you should contact your insurer to begin the claim procedure. They will calculate the difference between your vehicle insurance payout (which will cover the market value of the car at the time of write-off) and the amount you paid for the automobile. If your claim is successful, will pay out the shortfall after all relevant checks have been completed.

What is Vehicle Replacement GAP Insurance

Vehicle replacement, like Return to Invoice, is a variety of gap insurance. It pays the difference between what you paid for your car and its current market worth. If your automobile is stolen or written off, most insurance policies will only pay you the current market value. Since cars depreciate quickly, you may end up owing more than you purchased for them. This will almost certainly necessitate the purchase of a used vehicle.

Unlike Return to Invoice insurance, Vehicle Replacement GAP insurance covers the difference between your auto insurance claim and the cost of a new car. This gives you the assurance that if your car is stolen or written off, you will be able to replace it with a new model of the same automobile.

How it Works

Replacement gap insurance pays the difference between your car insurance payout and the cost of buying a new car if your car is totalled. Because it accounts for escalating car prices, it can pay out more than return to invoice gap insurance. This means you should be able to buy a brand-new car with the money you receive from your vehicle replacement insurance payouts.

Here’s an illustration:

  • You spend £20,000 on a car and acquire gap insurance.
  • Your car gets stolen a year later.
  • Your insurer compensates you for the current market value, which is £15,000.
  • The difference between the market value and what you paid for the car is covered by your vehicle replacement gap insurance. It pays out £5,000 (the difference between the market value and what you paid for the car).
  • This takes your total payout to £20,000, the amount you spent for your car.

Exclusions of GAP Insurance

Exclusions are common in insurance contracts, so double-check yours. Even though there are several coverage kinds when it comes to Return to invoice or Vehicle replacement insurance, there are still some situations that GAP Insurance would not cover. While this may obviously vary depending on brokers and individual policies, there are several general exclusions to be aware of.

#1. The most essential exclusion and one that always applies is for those who do not have comprehensive vehicle insurance coverage. Before you consider GAP Insurance for your vehicle, be sure you have the correct level of car insurance in place. Otherwise, you’ll be paying for something that won’t kick in when you need it. If you already have coverage but it isn’t comprehensive, you should update it and receive it before purchasing any more policies.

#2. This insurance won’t be met if you’ve changed anything about your automobile after you bought it. The appearance, the interior, the technology – anything that would have added value. Since your policy only covers the original worth of your vehicle, you should keep this in mind when investing in it.

#3. Another exclusion to gap insurance is where your auto insurer fails to declare your car a total loss. So if it’s simply substantial damage and not entirely written off, you will lose insurance.

#4. This insurance only covers normal road legal driving – what we all do with our cars on a daily basis. Therefore anyone racing their car in any competitive driving event will lose insurance in the event of a write-off.

Return to Invoice GAP Insurance Quote

Return to Invoice GAP insurance is available from a variety of insurers, each with its unique set of terms. On our comparison tables, you may evaluate a range of providers to find the best fit for you. This you may do by taking into account costs, policy duration, exclusions, and other crucial aspects.

Also, you should shop around for the best Return to Invoice GAP insurance policy by comparing multiple providers to see which one best matches your needs. You’ll need to think about whether you want coverage for a new or used car, how much it is worth. Again, how long you want coverage for, how much the coverage costs, and your individual preferences and financial condition. Having said that, here are a few GAP insurance providers to consider for your Return to invoice or vehicle replacement.

#1. MotorEasy

GAP insurance is only one of the many driving services offered by MotorEasy. This service aims to be a one-stop shop for all of your automobile ownership needs. Furthermore, it is compatible with commercial trucks weighing less than 3,500kg. 

MotorEasy has an “Excellent 4.7/5” service rating on Trust Pilot and eKomi, as well as a five-star rating from Defaqto. In fact, you could say that MotorEasy’s team of automobile specialists make owning and maintaining a car simple and stress-free.

With a very simple Return to Invoice Gap Insurance quote tool on its website, MotorEasy has built a consistent customer base. There is a 100,000-mile total mileage limit to be cautious of, and the policy has no transfer option. This means that your coverage would expire if you sell the car. However, if you cancel after the first 30 days, you will receive a pro-rata refund.

What does our MotorEasy GAP insurance for return to invoice cover?

Each of the plans pays the difference between your insurer’s payout and either the original purchase price or the amount required to pay off your outstanding financial obligation, whichever is greater. Return to invoice GAP insurance from MotorEasy is a reliable way to ensure you’re adequately insured for the long term.

Expert support and help are just a phone call away with discounts on MotorEasy maintenance and repairs in every package. Their team will be there to assist you whether you’ve broken down and need to contact them from the road. Or perhaps, you’ve been in an accident and aren’t sure what to do next.

In addition, you’ll be covered for:

  • Motor insurance excesses of up to £500
  • Optional upgrades and accessories worth up to £1,500 (where factory or dealer fitted)
  • For up to 30 days, take a European road tour.

Visit their website for more information on Return to Invoice Gap Insurance quote and benefits

#2. ALA Insurance

This is a different GAP insurance company. They take pleasure in providing open and honest information to customers and assisting them at every step of the route. ALA is one of the most well-known GAP insurers. It is reasonably priced, plus they have an almost flawless record in both Vehicle Replacement and Return-to-Invoice insurance policies.

The coverage is unusually fair, with no mileage restrictions, a 120-day claim period, and a free-of-charge transfer option to place your prior policy against a new pair of wheels if you move cars during your policy term.

You can visit their website for more info on ALA’s return to invoice GAP insurance quote 

#3. DirectGap

Claiming to be the UK’s #1 GAP provider (though not stating in what way), Direct GAP has some rave customer reviews to support its grandiose claims. Like Click4GAP, however, it has geographical limitations. Although, policies do include travel to Europe and other individual countries, provided the trip is no longer than 120 days.

Features of DirectGap Insurers includes

  • Service of the best quality
  • competence and accountability
  • Integrity
  • Flexibility

On return-to-invoice and vehicle replacement GAP insurance policies, you can transfer your cover to another vehicle or claim to refund any unused portion of the policy if you sell the car.


Last but not least is If cost is the most important factor to you, is one of the most cost-effective GAP insurance providers available. That’s for a good cause. covers a limited number of automobiles, eliminating sportier versions like the BMW X5 M and the Volkswagen Golf R. has a Gold Feefo award for customer feedback, whereas Direct GAP has a Platinum service status.

Is it necessary to purchase GAP insurance?

The necessity for Vehicle Replacement or Return to Invoice GAP Insurance is totally dependent on the circumstances surrounding your purchase, and there are several things to think about before purchasing coverage.

As a general rule, the newer the vehicle you’re buying, the more GAP Insurance coverage you’ll need in the event of an accident. The benefits of having a GAP policy are substantially lower if you’re buying an older vehicle for cash; older automobiles still depreciate, but at a much slower rate. If you sign long-term loan agreements on brand new automobiles, you risk having to pay the remainder out of pocket if your insurance company does not pay enough to cover the balance.

You should also check with your comprehensive vehicle insurance company, as some will replace a car that was brand new if it is written off within the first year. If you think you could be covered, read the terms and conditions carefully to be sure there are no exceptions or exclusions. If you think your insurer’s coverage is adequate, you can obtain GAP insurance before the end of the first year to assure you’re covered for the rest of your ownership.

FAQ’s On Return to Invoice Gap Insurance

Is it Worthwhile to Request a Return to Invoice?

It’s also known as a “Return to Invoice” or a “Gap Cover.” It is beneficial in the event of automobile theft because it compensates for the car’s depreciation. ” You are entitled to a payout based on the invoice value of your automobile if you have the insurance price add-on cover.

What is GAP and RTI insurance?

Return To Invoice (RTI) Gap insurance covers the difference between the vehicle’s total loss value and the original purchase price if it is stolen or written off in an accident.

What is Gap Plus?

The gap between the vehicle’s real cash value and the remaining loan debt is covered by GAP Plus protection. Frequently, the loan sum will be greater than the vehicle’s worth. Guaranteed Asset Protection fills in the “gap” between the vehicle’s current value and the amount owing on it.

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Return To Invoice (RTI) Gap insurance covers the difference between the vehicle's total loss value and the original purchase price if it is stolen or written off in an accident.

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The gap between the vehicle's real cash value and the remaining loan debt is covered by GAP Plus protection. Frequently, the loan sum will be greater than the vehicle's worth. Guaranteed Asset Protection fills in the \"gap\" between the vehicle's current value and the amount owing on it.

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