When arranging your home building & contents insurance it is extremely important to ensure that you are fully aware of what excess applies to your policy as you will need to pay this amount in the event that you have a claim.
It may be quite confusing, but take time to ensure that you know the position as you do not want a shock in the event of a claim.
Policy Excess : This is applied to all policyholders and is part of the policy terms. In addition to this excess there may be
Voluntary Excess: This is an optional amount that you can choose which will reduce your premium.
Compulsory Excess: These may be applied by the insurance company to reflect your policy risk. These excesses will be clearly shown on your policy schedule.
OTHER EXCESSES TO CHECK
Due to the large increase in the number of escape of water claims, many insurance companies have increased the compulsory excess for this type of claim. Make sure that you are aware of this amount as it is not uncommon for the escape of water excess to be £200 or more.
The main point to bear in mind is to check what the excesses are and ensure that they suit your needs.