Guaranteed Auto Protection (GAP) Insurance Market By Type (Finance GAP Insurance, Return-to-Invoice GAP Insurance, Vehicle Replacement GAP Insurance, Return-to-Value GAP Insurance, and Others) and Application (Passenger Cars and Commercial Vehicles): Global Opportunity Analysis and Industry Forecast, 2020–2027

Pages: NA
Sep 2020 | 86 Views
Author(s) : NA
Tables: NA
Charts: NA


Pandemic disrupted the entire world and affected many industries.

Get detailed COVID-19 impact analysis on the Guaranteed Auto Protection (gap) Insurance Market

Request Now !

Guaranteed Auto Protection (GAP) Insurance Market Outlook – 2027 

The global guaranteed auto protection insurance market is experiencing significant growth, and is projected to grow as the trend has shifted from buying to leasing cars in the market. Guaranteed auto protection insurance policy covers the borrowers residual gap between actual cash valuation of an automobile and the amount left to be paid to the financing, if vehicle meets with accidents or collisions. Moreover, GAP insurance coverages are commonly utilized for new and used vehicles. Generally, if an individual purchases a car through financing, then buyers need to purchase GAP insurance. 


The global GAP insurance market is segmented on the basis of type, application, and region. Based on type, the market is divided into finance GAP insurance, return-to-invoice GAP insurance, vehicle replacement GAP insurance, return-to-value GAP insurance, and others. In terms of application, the market is bifurcated into passenger cars and commercial vehicles. Geographically, the market is analyzed across several regions such as North America, Europe, Asia-Pacific, and Latin America, Middle East & Africa (LAMEA).

Key players operating in the global GAP insurance industry include Progressive Casualty Insurance Company, Direct Gap, StateFarm, Allstate Insurance Company, American Family Insurance, GEICO, Allianz SE, AXA, and Aviva. These companies have adopted several strategies such as product launches, partnerships, collaborations, mergers & acquisitions, and joint ventures to strengthen their foothold in the global GAP insurance market. 

Top Impacting Factors

Increase in awareness of self-financing firms & auto leasing dealers, in terms of protection against unexpected losses caused by borrowers. This, as a result compels owners & buyers to purchase GAP insurance policy, which fuels the GAP insurance market growth. However, higher competition, lack of awareness about guaranteed auto protection insurance benefits, and evolution policy regulations are some of the factors that hampers the market growth.

On the contrary, rise in popularity and demand for auto financing largely requires GAP insurance coverages. These factors, therefore, are expected to provide enormous opportunities for the market in upcoming years.

New Technological Advancements in the Parent Industry

In June 2020, Tata AIG General Insurance introduced telematics-based software, 'AutoSafe'. This software enhances policyholders to save some of their premium by tracking kilometers they travel, encouraging healthy driving and provides anti-theft tool GPS monitoring facility. In addition, the program offers other value-added plans such as depreciation reimbursement, regular payment, and no claim protection coverage. It helps insurers to track behavior patterns of individuals who have their vehicles insured and accordingly reduce claim rates for the GAP insurance in the market.

Rise in Artificial Intelligence (AI) Penetration into the Auto Insurance Industry

Rise in benefits of artificial intelligence (AI) technology across several industry verticals has made considerable progress in the automobile insurance market. The technology allows car insurance businesses to constantly deliver services to their clients with live track on speed limit to provide instant services & personalized coverages for GAP insurance. Moreover, functions such as seamless streaming of customer insights, automatic claim services, automated underwriting, and predictive analytics generate substantial demand for AI in the GAP insurance market.

Key Benefits of the Report

  • This study presents analytical depiction of the global GAP insurance market size along with the current trends and future estimations to determine the imminent investment pockets.    
  • The report presents information related to key drivers, restraints, and opportunities along with detailed analysis of the global GAP insurance market share.     
  • The current market is quantitatively analyzed from 2020 to 2027 to highlight the market growth scenario.         
  • Porter’s five forces analysis illustrates the potency of buyers & suppliers in the market.    
  • The report provides a detailed GAP insurance market analysis based on the present and future competitive intensity of the market.

Market Scope and Structure Analysis

Report Metric


Market Size Available For Years


Base Year Considered


Forecast Period


Forecast Units

Value ($)

Segments Covered

Type, Application, and Region

Regions Covered

North America (U.S. and Canada), Europe (Germany, UK, France, and rest of Europe), Asia-Pacific (China, Japan, India, and rest of Asia-Pacific), Latin America (Brazil, Mexico, and rest of LATAM) and Middle East & Africa

Companies Covered

Major players analyzed in the report include Progressive Casualty Insurance Company, Direct Gap, StateFarm, Allstate Insurance Company, American Family Insurance, GEICO, Allianz SE, AXA, and Aviva


COVID-19 Scenario Analysis

  • The COVID-19 impact has caused serious business disruptions to several industries globally. The car sales have come down dramatically and the pandemic has affected the sale of car insurance due to stringent lockdown conditions in across the countries. 
  • Moreover, decline in new policy sales volumes have impacted a number of car dealers to temporarily close their businesses in the market.

Guaranteed Auto Protection (GAP) Insurance Market Key Segments




  • Finance GAP Insurance
  • Return-to-Invoice GAP Insurance
  • Vehicle Replacement GAP Insurance
  • Return-to-Value GAP Insurance
  • Others


  • Passenger Cars
  • Commercial Vehicles


Questions Answered in the Global GAP Insurance Market Research Report

  • Who are the leading market players active in the global GAP insurance market?
  • What would be the detailed impact of COVID-19 on the global GAP insurance market trends?
  • What current trends would influence the market in the next few years?
  • What are the driving factors, restraints, and opportunities in the global GAP insurance market?
  • What are the projections for the future that would help in taking further strategic steps?
With collective industry experience of about 200 years of its analysts and experts, Allied Market Research (AMR) encompasses most infallible research methodology for its market intelligence and industry analysis. We do not only engrave the deepest levels of markets but also sneak through its slimmest details for the purpose of our market estimates and forecasts. Our approach helps in building greater market consensus view for size, shape and industry trends within each industry segment. We carefully factor in industry trends and real developments for identifying key growth factors and future course of the market. Our research proceeds are the resultant of high quality data, expert views and analysis and high value independent opinions. Our research process is designed to deliver balanced view of the global markets and allow stakeholders to make informed decisions.

We offer our clients exhaustive research and analysis based on wide variety of factual inputs, which largely include interviews with industry participants, reliable statistics and regional intelligence. Our in-house industry experts play instrumental role in designing analytic tools and models, tailored to the requirements of particular industry segment. These analytical tools and models sanitize the data & statistics and enhance the accuracy of our recommendations and advice. With AMR’s calibrated research process and 360` degree data-evaluation methodology, our clients are assured of receiving:

  • Consistent, valuable, robust and actionable data & analysis that can easily be referenced for strategic business planning
  • Technologically sophisticated and reliable insights through well audited and veracious research methodology
  • Sovereign research proceeds that present a tangible depiction of marketplace

With a strong methodology we are, therefore, confident that our research and analysis are most reliable and guarantees sound business planning.

Secondary research
We refer a broad array of industry sources for our secondary, which typically include; however, not limited to: Company SEC filings, annual reports, company websites, broker & financial reports and investor presentations for competitive scenario and shape of the industry

  • Patent and regulatory databases for understanding of technical & legal developments
  • Scientific and technical writings for product information and related preemptions
  • Regional government and statistical databases for macro analysis
  • Authentic new articles, web-casts and other related releases for market evaluation
  • Internal and external proprietary databases, key market indicators and relevant press releases for market estimates and forecast

Primary research
Our primary research efforts include reaching out participants through mail, tele-conversations, referrals, professional networks and face-to-face interactions. We are also in professional corporate relations with various companies that allow us greater flexibility for reaching out industry participants and commentators for interviews and discussions, fulfilling following functions:

  • Validates and improves the data quality and strengthens research proceeds
  • Further develops analyst team’s market understanding and expertise
  • Supplies authentic information about market size, share, growth and forecasts

Our primary research interview and discussion panels are typically composed of most experienced industry members. These participants include; however, not limited to:

  • Chief executives and VPs of leading corporations specific to industry
  • Product and sales managers or country heads; channel partners and top level distributors; banking, investments and valuation experts Key opinion leaders (KOLs)

Analyst tools and models
AMR has developed set of analyst tools and data models to supplement and expedite the analysis process. Corresponding to markets, where there is significant lack of information and estimates, AMR’s team of experts and analyst develop specific analyst tools and industry models to translate qualitative and quantitative industry indicators into exact industry estimates. These models also allow analysts to examine the prospects and opportunities prevailing in the market to accurately forecast the course of the market.


Start reading ,This title and over 12000 thousand more,available with Avenue Library,  T&C*

Reach out to us

Call us on
( U.S. - Canada toll free )
Int'l : +1-503-894-6022
( Europe )
+ 44-845-528-1300
Drop us an email at










Purchase Full Report of
Guaranteed Auto Protection (GAP) Insurance Market

  • Online Only
  • $3,456  $3,110
  • Online cloud access only
  • Restricted print, copy, paste & download
  • Read only
  •   Free quarterly industry update
  •   Free report update (Within 180 days)
  •   Subscription model sign in
  • Data Pack
  • $3,840  $3,456
  • Restricted to one authorized user
  • One print only
  • Available in
  •   Free quarterly industry update
  •   Free report update (Within 180 days)
  •   Subscription model sign in
  • Single User
  • $5,769  $5,192
  • Restricted to one authorized user
  • One print only
  • Available in Excel & PDF
  •   Free quarterly industry update
  •   Free report update (Within 180 days)
  •   Subscription model sign in
  • Five Users
  • $6,450  $5,805
  • Limited to five authorized users
  • Print upto five copies
  • Available in Excel & PDF
  •   Free quarterly industry update
  •   Free report update (Within 180 days)
  •   Subscription model sign in
  • Enterprise

  • $8,995  $8,096
  • Unlimited
  • Available in Excel & PDF
  •   Free quarterly industry update
  •   Free report update (Within 180 days)
  •   Subscription model sign in
  • Library Membership
  • $ 699/mo
  • Published Content
  • Company Profiles
  • Newly Added Content Access
  • 10 PDF
  • 5 Excel Data
    Pack Downloads
  • 250 Company Profiles PDF Downloads
  • Start reading.
    This title and over 12,000+ are available on the Avenue Library.  T&C*.

    Buy Now

*Taxes/Fees, if applicable will be added during checkout. All prices in USD


Why Allied Market Research?


Infallible Methodology

To ensure high-level data integrity, accurate analysis, and impeccable forecasts

Analyst Support

For complete satisfaction


On-demand customization of scope of the report to exactly meet your needs


Targeted market view to provide pertinent information and save time of readers


Featured Reports


Published in Feb 2018

PMI Foam Market

Download Sample

Published in Feb 2018

Frozen Pizza Market

Download Sample

Published in Mar 2017

Bioethanol Market

Download Sample

Featured Readings


Get fresh content delivered

Get insights on topics that are crucial for your business. Stay abreast of your interest areas.

Get Industry Data Alerts