What Is Car Excess Insurance?

When your car is damaged due to an insured event (such as fire, accidental damage etc) the excess that you must pay can be high. The excess is the first part of a successful claim that you are liable for, and it can sometimes cost hundreds of pounds or more.
 
That's why many people decide to take out private car excess insurance – to cover this potential cost. So what exactly is this?

Overview Of Insurance

Excess insurance covers you for the excess amount that you would be liable to pay in the event of your car needing repairs due to an insured event.
 
If you take your car to a garage for repairs following an accident only to find that you cannot afford the excess, you may not be able to get it fixed. This may mean you have to leave your car until you have enough money to fix it, which can be distressing and inconvenient, especially if you need it to go to work or take the children to school.
 
Or you may have no choice but to spend your own money on the excess amount, which could be very difficult for you financially.
 
Excess insurance is a single product that you purchase to insure yourself against the maximum cost of your excess. You simply pay a premium each year, and you know that you are covered.
 
Once you have it in place, you will know that, in the event of a successful claim on your main motor insurance policy, you are covered (up to any pre-agreed limits).

Benefits Of Getting Covered

The main benefit of this type of cover is clearly that you won't find yourself out of pocket in the event that you have to pay an excess.
 
If you choose an insurer such as ourselves at Bettersafe, you will also find that we are unique in that we pay the garage directly so you don't even have to wait to be reimbursed, and that way you are never out of pocket.
 
In addition, you may be able to opt for a higher excess on your main car insurance policy, safe in the knowledge that your excess insurance cover is in place.

Opting for a higher excess means you may attract a discount on your main car insurance premium. This is one of the tips covered in a recent Independent article about ways to save money on your insurance, so it is worth doing the maths to find out just how much you could save.

Find Out If You Could Benefit From Excess Cover

If you worry about the financial implications of having to spend a small fortune on your excess in the event of a motor car insurance claim, having a separate insurance policy in place can be a very good idea.
 
Not only will you be covered financially, but you will also enjoy greater peace of mind when you are on the road because you know that you are covered no matter what happens.