Excess Protection Policy?

consumer

I was recently reviewing car insurers' websites and came across excess protection policy....

This basically cover the excess depending on the policy type..

They also allow higher voluntary excess on car insurance policy, reducing premiums and then take out this excess protection policy (which works out couple of quids cheaper)

Are they worth it?

http://www.bestadviceuk.co.uk/excess_protection.html...

There are many more providers found on googling...

dogbot

You would probably be much better off just saving the value of the excesses you have. Good financial planning to build up a reserve of cash in case of instances like a car crash or incident in the home is just good sense, and you will probably be left with a gap between policies paying out anyway.

dacouch

I had a look at it Dogbot and the links to the policy wordings and who Insurers it don't work so you cannot see any small print.

The lower value excesses eg £100 are not good value as it costs £20 per year so your gambling you have a claim in 5 years and the saving off an average insurance premium for a £100 voluntary excess is probably around £10.

The bigger excesses could work out feasible as they work you will save if you have a claim in around ten years.

They allow you two claims so in these cases you may actually save more.

I agree with you that its worth consideringputting the money aside yourself and with these types of unusual policies there is always the chance the Insurer will pull it after a year if they are losing money.

I assume you also have to stump the excess up yourself and then claim it back, so if they take a while to pay out you could be out of pocket for a while.

Its an interesting policy though