What's a voluntary home insurance excess?

Published 18/03/2016 10.54 AM   |    Updated 14/09/2017 09.01 AM

Your home insurance excess is an amount that you have to pay if you make a claim. There are two types of excess:

- Compulsory excess - this is a fixed excess, set by us, which you'll have to pay if you make a claim. The amount varies depending on your circumstances. Some examples of compulsory excesses are £1,000 for subsidence or £350 for escape of water claims.

- Voluntary excess - this is an amount that you agree to pay, in addition to your compulsory excess, if you make a claim. People agree to a voluntary excess in return for a lower premium.               

Here's an example to explain how it works: say your policy has a £100 compulsory excess and you agree to a £150 voluntary excess. Something goes wrong at home and you make a claim; the bill to repair the damage comes to £1,000. We pay out £750 and you would make up the difference, so the bill for repairs is paid in full.

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