What does GAP insurance cover?
Both Premier Cover and InsureMyTesla from Oman Insurance include GAP insurance coverage. This is an acronym that stands for Guaranteed Asset Protection; it protects car owners when their standard insurance payout, which is known as ‘total loss payment’, does not cover the full value of the car. GAP covers motorists who have bought a new car, because a great deal of the value of the vehicle is lost within the first few months, up to a year, of ownership. This means that if the car is stolen or written off in those first months, the owner will still be paid the full value of the car and not just, for instance, 60% which would usually be paid out in a ‘total loss payment’.