Insurance policy excesses are generally comprised of two elements: compulsory excess and voluntary excess.

The compulsory excess is selected by the insurance provider and can vary depending on several factors, such as age, driving experience, and the type of vehicle – the risk. The voluntary excess is selected by the policyholder at the time of initial policy commencement. The total excess may become payable in the event of a claim.

It is worth noting that there may be additional policy excesses or premium loadings for younger or newer drivers, so make sure to check the policy terms thoroughly. You should also be aware of whether the insurer will load your excess if you choose your own repairer (outside of their network) in the event of a claim.

Many people select a higher voluntary excess to benefit from lower premiums, assuming they won’t need to make a claim. Remember, nobody wakes up in a morning and expects to get into a motoring accident, so make sure you select an excess amount which is affordable for you if the worst should happen!

The claim process varies between insurers. Your excess is usually paid directly to the repairer upon completion of the repairs. Even though the accident may not be your fault, in some cases you may still be asked to pay your excess, which can be refunded once liability is agreed, and the claim is settled. There are other options to make sure you don’t pay your excess in certain cases. It’s certainly worth calling us to discuss these.

Ultimately, you should not let your car insurance excess deter you from making a claim if this is the best option for you. Due to the complexity of modern cars, the repair costs are often far more than the insurance excess. CARS have various excess support options available, and we recommend giving us a call to discuss this in further detail.

Visit our blog ‘What happens if I make a claim on my car insurance?’ for further information.