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Home Excess Insurance

You’ll most likely have heard of car excess or motorbike excess insurance but what about Home Excess Insurance? It might feel a bit weird in that home isn’t usually the one associated with paying an excess.

What is ‘Excess’ in Insurance terms? Excess is the amount you pay on a claim before the Insurer take on the claim. It was partly introduced to help with fraud, but also to stop people claiming for small amounts of insurance that still take time and effort to sort out. In a way it’s protecting the customer and the insurance agency.

There’s two types – Voluntary Excess and Compulsory Excess. Voluntary is when you choose to pay a higher amount than is required voluntarily as this will help reduce your overall insurance. Most claims are small claims, so if you agree that you’ll pay the first, say £250 of any claim before asking for Insurance cover, then you’ll be less likely to claim for something small. Compulsory Excess is the mandated excess your insurance provider chooses as their minimum excess available. So, for instance it might be £50 compulsory, this means you’ll cover the first £50 on a claim that is, for example £200 leaving £150 for the Insurance company to cover. If you had a voluntary excess of £100 then the insurance company would pay £100 but your monthly premium might be £60 as opposed to £80 without the voluntary excess. These are just suggested numbers to help you make sense of it.

Home Excess Insurance is a great option as it might allow you to reduce the premium, whilst covering you for the remainder. Excess insurance covers you for the excess in an insurance product. So you can choose to pair it, as an example with your Home Insurance at say a higher voluntary excess of £500 lowering your monthly costs by £30, but adding £20 per month Home Excess to cover the £500 excess making an overall saving for better cover.

Have a look at our market beating Home Excess that comes with our BestPriceFS guarantee of lower fees, making it cheaper for you the customer to get the best deal at the right price. Tap here to have a look – Get me home excess