Shortfall cover

Complete peace of mind when your car or motorbike is financed

In a nutshell

If the car that we insure comprehensively for you is financed by a financial institution, and it’s written-off, stolen or hi-jacked, then shortfall cover pays the amount that you still owe the financer after we’ve settled the claim. This cover must be noted on your policy schedule, and an additional premium is payable.


  • The difference between the settlement amount at the time of your car or motorbike being written-off, stolen or hi-jacked, and what you still owe the financial institution for it.
  • Balloon payments and residual values.
  • Higher settlement amounts due to re-financing or re-advance amounts.
  • Any payment arrears, interest on arrear amounts, or other extra finance charges.
  • Early settlement charges.
  • Any amount over and above the financed amount or original purchase price of the car or motorbike.
  • Any amounts that are refundable to you.
  • The excess amount/s applicable to your comprehensive car or motorbike cover and any other amount/s that may rightfully be deducted from the car or motorbike claim.
  • Non-standard sound equipment and extra trimmings and accessories that have been fitted to your car or motorbike but which you haven’t stated on your policy schedule and which aren’t part of the original finance agreement.
  • Any claim under this section if your claim for the loss of, or damage to, your car or motorbike is unsuccessful, or if your King Price policy is cancelled.