What is insurance excess and how does it work for beginners?

29 Aug 2026, 23:30
Q A Reader Asker

What is insurance excess and how does it work for beginners?

A SureCover Team Answered by

Insurance excess is the amount you agree to pay out of pocket when making a claim on your policy. For example, if your car insurance has a $500 excess and you lodge a claim for $3,000, you would pay the first $500 and your insurer would cover the remaining $2,500. Different policies may have varying excess amounts, and some insurers might offer a lower premium for a higher excess. It's important to understand how excess works, as it can impact your finances when making a claim. For more detailed advice, consider speaking with an insurance professional or checking your insurer's policy details.

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