Compulsory Excess and Voluntary Excess

[msemma]

Can someone explain the difference for me? I'm comparing quotes and although I type in a number for the voluntary excess I still get a figure coming up - eg �295 for the compulsory excess - on some sites? I'm a girl, aged over 25, had my licence 10 years.

[eyebrows]

being that you cant get a licence untill 17/18 i assume you must be older than 27/28?

not helpful i know.....

but hey.....

[nuttymum]

have u done sheilas wheels? can't remember excess being that bad, but i kno my other halfs quote just came in from privilege and they'd put the excesses up this year. Sorry I don't kno the dif

[kempie]

Increasing your excess will lead to a lower premium because the insurer has less to pay out on a claim.

e.g. a policy may offer a compulsory excess of �250 for which you pay a premium of �400 per year. If you then add a �100 voluntary excess you will receive a discount on the premium but you must then pay the first �350 (�250+�100) of any claim.

[BenDToy]

To answer your specific question.... A compulsory excess is one which is dictated by the insurance company. Note that it may be variable eg higher for young drivers, or inexperienced ones. A voluntary excess is "chosen" by the insured, and will be in addition to any compulsory excess, and a higher figure should have the effect of reducing the premium.