Car insurance - excess

roperman

Hi,
just trying to clarify when I'd have to pay voluntary excess. I've tried searching but haven't found anything concrete.

Assuming I have a voluntary excess of £500. I understand that a claim that is not my fault will be claimed against the other insurance and not my policy.

However, if it is my fault, is the excess only subtracted from my car repairs, or does it go towards 3rd party damage as well? If I was in an at fault accident i'd probably just scrap my car anyway because its hardly worth anything. Having a £500 excess as opposed to £0 saves me about £50 on my policy.

Also, does voluntary and compulsory excess work exactly the same, apart from voluntary is my own choice?

Danny

forgotmyname

If you claim from your insurer then the excess is payable. If you claim from the 3rd party then no excess is payable.

I was always under the impression the excess is only if you claim from your insurer whether at fault or not at fault. If not at fault they may say no need to pay it or they will refund when settled.

But a little while back someone said they had to pay the excess for a claim against them. Not sure whether they got that right or didnt get the facts right?

Voluntary is your choice when taking out the policy. If you take a policy and put £500 voluntary then you must pay that on top of the compulsory if you claim.

Whats your compulsory excess? If its £300 then you will be £800 down if the car gets written off.

InsideInsurance

roperman wrote: »

Assuming I have a voluntary excess of £500. I understand that a claim that is not my fault will be claimed against the other insurance and not my policy.

However, if it is my fault, is the excess only subtracted from my car repairs, or does it go towards 3rd party damage as well? If I was in an at fault accident i'd probably just scrap my car anyway because its hardly worth anything. Having a £500 excess as opposed to £0 saves me about £50 on my policy.

Also, does voluntary and compulsory excess work exactly the same, apart from voluntary is my own choice?

Your excesses will apply to certain sections of your policy, most commonly fire, theft and accidental damage to your car. It wont apply to third party damage, glass, PA etc.

If you have voluntary and compulsory excess you simply add them together, they work identically and apply to the same sections with the possible exception of an inexperienced driver compulsary excess against the theft/ fire section

The non-fault question is more complex. In a non-fault accident you can claim off the third party directly and thus avoid your excess but that assumes that the TP admits liability quickly, there insurers dont have indemnity issues etc.

In a fair proportion of non-fault accidents people claim off their own policy in which case the excess is payable but it, like your insurers outlay, is recoverable from the third party. If you have Legal Expenses cover then your insurers/ a solicitor would assist you to do this (the insurer will recover their own outlay regardless of LE cover)