What is policy excess cover?
An insurance excess is the amount you have to pay in the event you claim on a policy. For instance, with your car insurance, if you need to claim for £2000 of damage and have a total excess amount set at £250, you will pay £250, and your car insurer will pay out £1750. You usually have to pay an excess each time you claim but, in terms of car insurance, if you are involved in an accident that wasn’t your fault, this can be covered by the other party.
There are two kinds of excess, voluntary excess and compulsory excess. Voluntary excess is set by the policy holder when getting quote Compulsory excess is set by the insurer and cannot be changed – it may be different amounts depending upon the type of claim or who was driving the car at the time of the incident
Policy excess cover is included in ALA GAP policies as standard up to £250 (except Agreed Value), and this will contribute towards the voluntary and compulsory excess that you paid to your car insurance provider. However this is claims for write offs where you are also claiming on your GAP policy. The separate ALA Excess Insurance has 5 claim limit options, and so can be more bespoke to your motor insurance policy as well as covering you in more scenarios. You can build your tailor-made GAP insurance quote and choose your excess amount here.
Is excess cover worth it?
Paying your compulsory and voluntary excess can be an extra worry in an already stressful situation should you need to make a car insurance claim. However, having excess cover can help to take some of that stress away
ALA Excess policy premiums range from just £17.27 for a £150 claim limit, to £60.01 for our highest £1000 claim limit, for 12 months of cover. To discuss our excess options with a member of our team, you can get in touch with us here today.
How do I get excess cover?
Policy excess cover is included as standard on all ALA GAP insurance policies, apart from Agreed Value GAP Insurance. Even if you’re not looking for GAP insurance you can choose a separate excess policy with a claim limit of between £150 and £1000. The claim limit should reflect your total motor insurance excess as much as possible. Drivers choosing GAP insurance coverage with ALA can add a policy excess coverage amount to their premium by building a quote with ALA. When building your GAP insurance policy, you will be asked to input information such as how you funded your vehicle, its age and mileage, and the original invoice price. From here, you can add policy excess as an optional extra.
You can find out more about our policy excess coverage here.
Is it better to have high or low excess on a car insurance policy?
It is completely your choice as to whether you choose a high or low voluntary excess on your car insurance policy, however there are some important factors to consider.
Higher excess amounts can lower your premium, making it the cheaper option. However, you must be able to pay the excess amount should the worst happen and you need to make a claim. You will also not be able to make a claim on your insurance where the value of the claim is less than your excess, leaving you to cover the cost of any liability or repairs.
Choosing a lower excess can ease an already stressful situation and protect your finances should you need to make a claim. Your insurance premium may be more expensive if you chose a higher excess amount, however you won’t have to worry about paying a large sum of money when making a claim.
What excess amount you choose depends on your personal preferences, finances and circumstances, and we can help you make the best choice. Your policy excess cover will last 12 months, but this means you can tailor it to your insurance excess every year, and it is straightforward to renew your policy with us annually, or after making a claim, whichever comes first.
How ALA can help
Our excess cover offers a range of claim limits so you can choose the amount nearest to your car insurance excess amount. You don’t have to be buying GAP insurance to buy excess cover, and it is a great optional extra should you need to make a car insurance claim. We always tailor our GAP insurance quote to you and your vehicle, with other optional extras such as Scratch and Dent insurance and Tyre and Alloy Wheel insurance.
To find out more about our GAP insurance policies, excess policies, or other optional extras, please get in touch with us today.
What happens if I cannot afford my excess?
Some insurance companies allow you to take out a policy plan, but some may refuse to process your claim. With ALA policy excess cover, you don’t need to worry about paying your excess as this will be handled for you. Although coverage only lasts for 12 months, you can renew when your policy ends or after making a claim, whichever comes first.
Can I claim my excess back?
Although we cannot claim your excess back for you, we can cover the excess payment you would be expected to make. Most car insurance companies will, however, refund you your excess if the accident was not your fault.