Martin Lewis on GAP Insurance guide
GAP Insurance: the guide Martin Lewis should've written
If you've searched for what Martin Lewis says about GAP insurance, you've probably landed on MoneySavingExpert's guide. As a Defaqto 5 Star rated GAP insurance provider, we're asked about the gaps in that guide most days, so here's what we'd add.
What does Martin Lewis say about GAP Insurance?
MoneySavingExpert's guide (now written by the site's Senior Insurance Analyst, under Martin Lewis's editorial banner) covers the basics well. It explains that GAP insurance covers the difference between what your car insurer pays out on a write off or theft and what you'd need to replace the car, and it walks through comparison sites and a handful of discount codes for buying it.
Where it's most useful is on cost: it correctly notes that GAP insurance bought through a dealership is usually far more expensive than buying standalone, and it flags the FCA's four day rule, which stops sellers pressuring you into buying on the spot.
Martin Lewis GAP Insurance : Key Updates
- February 2024: the FCA found some GAP insurance wasn't offering fair value to customers, prompting a wave of providers to pause sales while reviewing pricing.
- 2024 to 2025: most major providers, including several dealership and comparison site partners, temporarily stopped selling GAP insurance during this review period.
- 2025 to 2026: the FCA began allowing providers back into the market, though not all have returned, and cover now comes with tighter rules attached.
- The four day rule: sellers must leave a four day gap between telling you about GAP insurance and letting you buy it, giving you time to compare before committing.
- 30 April 2026: MoneySavingExpert's own GAP insurance guide was last updated, reflecting the post-FCA market.
- Ongoing: not every comparison site currently quotes for GAP insurance, so it's still worth checking directly with providers rather than relying on comparison sites alone.
Where the guide falls short
A few things get glossed over that matter more than they're given credit for.
Payout triggers - The guide notes GAP insurance only pays out if your car is stolen or a total write off. True, but the strongest policies also cover fire and road traffic accidents, not just theft, and that distinction affects which policy is actually worth buying.
Return to Invoice versus Return to Value - The guide doesn't draw a clear line between these two, even though the difference can run into thousands of pounds. Return to invoice (RTI) pays based on what you originally paid. Return to value (RTV) pays based on the car's value when you took the policy out, which is usually lower. As a rule, RTI is the stronger product where it's offered.
Claims handling - The guide doesn't touch on what actually happens once you claim. A written off confirmation from your insurer, and a police report if theft or fire is involved, are usually needed before a claim proceeds. The best providers handle the negotiation for you rather than leaving you to chase it.
Standards, not just price - The guide is comparison led, built around who's cheapest. It's worth also checking who's independently rated. Defaqto rates GAP insurance providers on the quality and comprehensiveness of cover, not just price, and MotorEasy holds its top 5 Star rating.
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FAQs
Does Martin Lewis recommend a specific GAP Insurance provider?
MoneySavingExpert's guide points to comparison sites and a small number of providers with discount codes, but it doesn't single one out as a recommendation. It's editorially independent of any single provider, including MotorEasy.
Is Martin Lewis's GAP Insurance guide accurate?
Broadly, yes. It's a reliable starting point on cost and the four day rule, but it doesn't go into payout triggers, RTI versus RTV, or claims handling in the depth most buyers need before choosing a policy.
Why does MoneySavingExpert say GAP Insurance isn't essential?
Because your car insurer should already pay out the market value of your car if it's written off or stolen. GAP insurance isn't compulsory, but it becomes more relevant if you're on finance or want a like for like replacement rather than a market value payout.
Has Martin Lewis said anything new about GAP Insurance recently?
The guide itself was last updated in April 2026, and reflects the FCA's February 2024 intervention and the tighter rules that followed. There's no dated series of personal updates from Martin Lewis specifically, the changes come from FCA regulation rather than statements he's made.
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The FCA is the independent regulator that ensures financial services operate fairly. MotorEasy is FCA approved, and you can check our registration directly on the FCA register.
