Excess protection cover
Discussion
Snafu361 said:
Sorry if wrong section - I've noticed that my renewal quotes have a higher excess, yet taking these and adding excess protection cover from someone like ALA works out much cheaper than adjusting the excess down on the main policy. Are there any disadvantages to this?
You've giving two insurance companies the opportunity to shaft you rather than one, I suppose.Potential disadvantages / things to check
1. Upfront payment of the excess – you still have to pay the insurer’s excess first, then claim it back separately. That can mean being out of pocket for a while.
2. Claiming twice – you’ll need to make two claims: one with your motor insurer, then one with the excess protection provider, with all the admin and proof required.
3. Limits and exclusions – excess protection usually covers a set amount per year and may exclude certain claim types (windscreen-only claims, if there’s no third party details, certain fault scenarios, etc.).
4. Timing – reimbursement can take weeks/months. If you’d struggle to pay the higher excess up front, it may cause cash flow issues.
5. Impact on NCD/premiums – having excess protection doesn’t change the fact you’ve made a claim on the main policy; your no-claims discount (unless protected) and future premiums can still be affected.
6. Double insurance issues – not usually a problem, but some main insurers sell their own “excess cover.” If you buy both, you may only be able to claim from one.
1. Upfront payment of the excess – you still have to pay the insurer’s excess first, then claim it back separately. That can mean being out of pocket for a while.
2. Claiming twice – you’ll need to make two claims: one with your motor insurer, then one with the excess protection provider, with all the admin and proof required.
3. Limits and exclusions – excess protection usually covers a set amount per year and may exclude certain claim types (windscreen-only claims, if there’s no third party details, certain fault scenarios, etc.).
4. Timing – reimbursement can take weeks/months. If you’d struggle to pay the higher excess up front, it may cause cash flow issues.
5. Impact on NCD/premiums – having excess protection doesn’t change the fact you’ve made a claim on the main policy; your no-claims discount (unless protected) and future premiums can still be affected.
6. Double insurance issues – not usually a problem, but some main insurers sell their own “excess cover.” If you buy both, you may only be able to claim from one.
Members of my family have such policies, including myself.
It's simply more cost effective. Just be aware of the max claim amount.
Regarding time delay on payout, on the one claim made the excess was deducted from the payout. Proof of this was provided and payment was received within one week
It's simply more cost effective. Just be aware of the max claim amount.
Regarding time delay on payout, on the one claim made the excess was deducted from the payout. Proof of this was provided and payment was received within one week
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