excess!!!

[berniecuddles]

CAN SOMEONE EXPLAIN WHY WE HAVE TO PAY EXCESS ON INSURANCE,SEEMS LIKE LEGAL ROBBERY TO ME.
ON MY LAST CAR INSURANCE QUOTE THE EXCESS WAS MORE THAN THE INSURANCE LOL!!
ALL SEEMS A CON TO ME!!

[Bbbananas]

Absolutely agree. The excess on my house insurance puts me off making any more claims. Didn't mind all those numerous times it was only £50 or so - but now (the ones that will still agree to insure me) they've put it up to £150 !!! Diabolical.

[Pea Pod]

Sallabananas has just given the reason......Puts me off making any more claims !

[redcrx]

possibly to stop people making false claims?
Plus you would normally get it covered as a uninsured claim if a 3rd party was at fault.

[Bbbananas]

My claims aren't (weren't) fraudulent - I'm just very accident prone, clumsy, unlucky blah di blah.....

[berniecuddles]

NO WHAT YOU MEAN SALLA!!
OUR FREEZER PACKED UP A COUPLE OF MONTHS AGO THE FOOD IN IT HAD TO BE THROWN AWAY (ABOUT £5O) RUNG UP INSURANCE COMPANY THEY SAID WE HAD TO PAY £100 EXCESS WHAT A CON.

[Ankou]

well insurabce itself is a con in my eyes. but hey ho.

many people through the years felt it was a nice little earner to lob in a 50 quid claim here and there, and so the insurance co's decided to say, well ok, you pay for the first 30 quid and you can have 20, as a way of preventing spurious and minor claims.

this turned into a nice little earner for the insurance co's so they thought, well how about we say you pay 4 and we pay 5, this turned into hundreds and so the story begins.

its amazing how low you can get your insurance (on compare websites) just by paying increasing the large wedge of "excess" from your own cash pot and saving the insurance paying out. clever that isnit.

[hc4361]

I opt for large excess on all my insurance. I am guaranteed to have to buy insurance but the chances of me needing to claim are low.
I've saved enough over the years to more than cover the excess if I do need to claim, and am very well insured should the car be written off or the house burned down.

[JackDanielsU]

If you have a high excess its either because youve had a few claims in the last 5 years, and the insurance co reckon its now more likely more claims will follow.

Or a high excess coupled with no claims can mean a lower premium - but people who choose this hope they dont have to claim.

Yes it annoys people, but thats life. We pay for many things we dont "need" to, this being just one

[flip_flop]

hc is right.

Why bother claiming for trivial amounts? It is a fact of insurance life that somebody who claims, say, 5 times for, say £200 will be hammered more on their premium than somebody who claims once for, say, £10,000.

Its all a matter of how you view insurance. I view as a safety net against big claims and therefore on my household insurance opted for a £500 excess.

I want the insurance there should the place be razed to the ground or if the roof blows off - not for when a few frozen chips are unusable.

[Pollypeptide]

Absolutely agree with Flip Flop. Many years ago, before household policies had standard claims excesses, we had a client who insisted on claiming for replacement glass in her toilet window. Total cost of the glass was about £3.00 - in the end we, as her Brokers, paid her the £3.00 as it would have cost us more to administer the claim via her Insurers! This is just one example of many I could mention.