Back to Motoring Advice

	Back to Buyers Guide

How the excess works

An excess is the amount you pay (or we hold back) in the event of any claim, regardless of who's to blame for the incident. The excess will vary depending on your car, the age and experience of the drivers on your policy and if you have opted to take protected or guaranteed No Claims Bonus protection. With Admiral, you can also choose to add a voluntary excess - giving you more control over the cost of your insurance.

Why have a car insurance excess?

It's to deter people making lots of claims for minimal damage (such as a cracked door mirror) that nevertheless might soon add up. Insurance is there for the really big claims you probably wouldn't be able to pay, as we explained in Why you need car insurance.

How does it work?

Let's say your policy has a £50 excess, and you're unlucky enough to have an accident. The cost of repair is £1,050, so we pay out £1,000, you pay the £50 excess and the bill is paid in full.

Or perhaps you've just suffered that broken door mirror. All it needs is a new lens, which is £20. As that's less than your £50 excess, you can't claim for it - but at least the cost of repair is affordable. The excess makes sure your insurance is there to help when you really need it, for example to settle that £1,000 repair bill that would be more inconvenient to pay.

Do I always have to pay the excess?

If it's proved the accident was the other person's fault and we recover the full cost from their insurer, the excess is refunded. So in effect, you don't lose out.

How can choosing my excess give me control?

Nearly all policies have an excess which you have to pay: the compulsory excess.

At Admiral, we'll often give you the chance to increase that excess, in return for lower premiums. Obviously if you're unlucky and have an accident, you'll have to pay more of the repair bill yourself. But if you believe you're a good safe driver and think it's unlikely you'll have an accident, you can save money.

Lower excess, higher premium or higher excess, lower premium? You decide, because you're in control.