If the accident totals your leased car, you will need to keep paying your monthly payments until the claim has been settled.
If the cost to repair the car exceeds a reasonable percentage of the car’s value, the car may be declared a total loss by the insurance company. In these situations, the insurance company will pay the leasing company for the fair market value of the car.
However, the insurance company payout is often less than what is still owed on the lease agreement, leaving a deficiency that you will still be financially responsible for. If you have gap insurance, it can help pay off that deficiency.