Your trigger should be more or less like this one..
Alter TRIGGER rowInsteadOfupDATE ON [dbo].[Table_1]
INSTEAD OF Update
AS
declare @flag int;
declare @distance int;
declare @gid int;
select @flag =i. flag from inserted i;;
select @gid =i.gid from inserted i;
BEGIN
Select @distance=distance from Table_2 where gid=@flag
print @distance
print @flag
update Table_1 set flag=@flag, distance=@distance where gid=@gid;
PRINT 'Record Updated ';
END
GO