What is EXCESS insurance?

Most insurance policies carry either a compulsory or voluntary excess, which is a fixed amount that you must pay out if you make a claim on your insurance policy. Progressively, insurance companies have increased premiums higher than inflation rises, so it is now common for them to also impose higher excesses, which can mean that for relatively minor claim you may end up paying large amount towards the claim due to the excess amount on your policy.

As an example, if your claim is £900 and your policy excess is £500, your insurance provider will pay only £400 of the cost, leaving you to make up the balance of £500. This is where excess protect adds real value to you, an excess protection policy will pay you back the excess premium you have had to pay , in the example above £500.

It is common for voluntary policy excesses to affect the premiums charged on the main insurance policy e.g. a higher excess is less risk to the main insurer, which means that the main insurer may drop the cost of the insurance. It is worth checking if a combination of the two can reduce your overall insurance costs i.e. that if you choose a higher excess and insure that excess as well, you may be better off overall; even so, you will always be liable to pay the policy excess unless you have it insured.

There are 5 types of Excess (XS) policies available, please click on the relevant product link below for the excess you wish to cover.

Personal Motor XS

You are covered for an amount equal to the excess in relation to each settled claim on your main personal motor vehicle insurance policy up to the annual aggregate limit of your XS policy in respect of claims arising from a motor insurance claim only.

A motor vehicle can be a private car, motorbike or light commercial vehicle which is registered at your home address, used for social and domestic purposes and commuting to your usual place of work, which is constructed for the carriage of passengers and their effects and is adapted to carry not more than seven passengers and does not exceed 3.5 tonnes, of which you are the owner or which you are authorised to drive.

This Personal Vehicle XS policy covers one motor vehicle only and the vehicle must not be insured by a main commercial/fleet insurance policy (if it is, then you must take out an individual Light Commercial Vehicle XS policy).

Cover is provided for the reimbursement of the excess of your motor insurance policy following a settled claim provided for a single motor vehicle whilst being used for:

  • social, domestic pleasure and commuting to and from your place of business.
  • personal business use by policyholder including business use class 3, which means where you and your named drivers are authorised drivers using the vehicle for business, to solicit orders and deliver pre-purchased goods. This includes sales representatives, consultants and agents and anyone else who uses the vehicle to travel from customer to customer for commercial business use.

You are also covered where you have been unsuccessful in recovering the excess cost from a third party within six months of making a valid claim against them under your main insurance policy. Cover benefit options available range between £250 - £2000.


Home Buildings and Contents XS

Cover is provided for the reimbursement of the excess of your home insurance policy (main residence only so long as you are resident in the UK).

It is payable following a successful fault-based claim in relation to each settled claim up to the annual aggregate limit of your XS policy, in respect of claims arising from accidental damage, fire, theft, flood or vandalism. Cover benefit provided is £1000.


Individual Light Commercial Vehicle XS

Cover is provided for the reimbursement of the excess of an individual vehicle insured on a main commercial/vehicle fleet insurance policy, following a settled claim up to your XS policy cover level, for cars, motorbikes or light commercial vehicles up to a gross vehicle rate of 3.5 tonnes.

A commercial/fleet motor vehicle for the purpose of this policy is a vehicle insured by a main commercial/fleet vehicle insurance in the UK not exceeding 3.5 tonnes (not being an invalid carriage) which is constructed for the carriage of passengers and goods in connection with your business and including vehicles used for hire and reward, of which you are the owner, registered keeper or where the vehicle is leased by you and which you are responsible for under a leasing agreement, or where you are legally responsible for that vehicle.

The XS policy covers only one vehicle.


Light Commercial Vehicle Fleet XS

Cover is provided for the reimbursement of the excess of your commercial motor fleet insurance policy following a settled claim up to your XS policy cover level for light commercial vehicles up to 3.5 tonnes.

If your commercial vehicles are covered by a commercial/fleet insurance policy, then this is the XS policy you must take out; however, if you only wish to take out XS protection for one vehicle in the fleet, then you must take out the Individual Light Commercial Vehicle XS policy.

Light Commercial Vehicle Fleet XS policies may be taken out for; 2 to 5 vehicles, 6 to 10 vehicles, 11 to 15 vehicles or 16 to 20 vehicles (20 being the maximum). Although aggregate cover levels may range from £1000 to £6,500, the maximum level of cover for any one XS claim is £2000.


Commercial Combined XS

Cover is provided for the reimbursement of an amount equal to the excess in relation to each settled claim on your main commercial insurance policy, up to the annual aggregate limit in respect of claims arising from a commercial insurance claim only, for:

  • Material Damage
  • Business Interruption
  • Employers Liability
  • Public Liability
  • Product Liability
  • Errors and Omissions
  • Contract Works