GAP Insurance

GAP Insurance is an option available to you before settlement of your finance contract that is designed to cover any potential shortfall between a Comprehensive Insurance payout (made in the event that your vehicle is declared a ‘Total Loss’) and the outstanding balance of a finance contract.

There are 4 options available under this ERIC Insurance policy;

Shortfall Benefit
Maximum Additional
Benefits (with shortfall)
No Shortfall Benefit
Cover 1 Up to $30,000 $10,000 $2,000
Cover 2 Up to $15,000 $4,000 $2,000
Cover 3 Up to $10,000 $2,000 $2,000
Cover 4 Up to $10,000 $1,000 $2,000

Key Features Benefits
Total Loss Cover Peace of mind cover that protects your Credit Rating by avoiding potential bad debts and allows you to remain in the vehicle market or avoids the need to use savings to cover an unexpected finance shortfall in the event that your vehicle is written off during the finance contract term.
Choice of Options Flexibility to choose your desired coverage based on the loan size and your individual preferences.
Additional Benefits Additional Benefits are paid to help cover the less obvious costs that could be incurred when your vehicle is written off as a Total Loss and a shortfall exists.
No Shortfall Benefit In the event of a Total Loss, where there is no shortfall the insurer makes a $2,000 payout to you irrespective of your chosen option.
No Excess No cost to you in the event of a claim.

GAP Insurance Example

Please view our combined Product Disclosure Statement (PDS)/Financial Services Guide (FSG). You should read the FSG because it contains important information about our authority to sell insurance products on behalf of the insurer. You should carefully read the PDS because it will help you make an informed decision about whether the policy meets your needs and provides the desired cover.