The car insurance information contained within these pages is based on information supplied by The Claims Guru, a site packed with useful information about the inner workings of insurance companies and their products.
Policy Exclusions - Policy Excess
Most policies now carry a compulsory excess and you might have volunteered for a higher excess to save some premium. YOU MUST PAY THIS NO MATTER WHO IS TO BLAME FOR THE ACCIDENT, LOSS OR DAMAGE. Hardly a day goes by in a claims office but there is a telephone call from an irate customer saying, 'why do I have to pay an excess when it was the other drivers fault?'
Also make sure you know what your excess is, and remember that young or inexperienced drivers have additional excesses to pay. It should be clearly shown in your policy book or schedule.
"I was thrown from my car as it left the road. I was later found in a ditch by some stray cows."
Extracts taken from actual claim forms submitted to
a number of UK car insurance companies
There have been many heated discussions by telephone with people who did not know what their excess was or that they had to pay this in the event of a claim, irrespective of blame. The reason you have to pay this first is because you have entered into a legal contract with your insurers in which you have agreed to pay the initial amount of each and every claim.
So you are not insured for the amount of your excess and furthermore, it is the first layer of the financial loss that has been incurred. If you are not at fault for an accident, you have the right to claim it back. See the chapter dealing with Third Party Claims for more about 'uninsured losses'
