Excess explained

Two parts of an excess

A compulsory excess is set by the insurer. It normally applies when the claim is covered, subject to the policy wording.

A voluntary excess is an amount you choose to add. Choosing one can affect the quoted premium, but it also means taking on more of the cost if you make a claim.

What it can mean for a claim

If a claim is accepted and the total excess is £350, you would generally pay the first £350 of the covered repair or loss, with the policy responding to the remaining eligible amount. The exact calculation depends on the type of claim and the policy terms.

Some claims or types of damage may have a separate excess. Check the schedule for the excess that applies before assuming all claims use the same amount.

Choosing a voluntary excess

Consider whether you could comfortably pay the full compulsory and voluntary amounts at short notice. Compare the total cost of the policy as well as the excess, and read the policy wording for limits, exclusions and claim-specific amounts.