What is the difference between a voluntary and compulsory excess?
The Car Insurance excess is the amount you will have to pay towards a claim. The voluntary excess is set by you and the compulsory excess is set by your insurer.
Voluntary excess - You can set this as low as zero to reduce how much you'd have to pay out in the event of a claim, or you can increase it to reduce your premium. When selecting your voluntary excess, make sure you can afford to pay this amount, as the repairer of your car won't return it until you’ve paid the excess. Additionally, if you set a voluntary excess near to or above your vehicle value, you may not be able to claim for loss, damage, or theft of your vehicle. Furthermore, you won't be able to reduce your voluntary excess during the term of the policy.
Compulsory excess - This is set by your insurer and may vary depending on the type of car you have, your age and your driving experience and that of any named drivers. You cannot alter the compulsory excess. The voluntary excess is added to the compulsory excess to give the total excess you would need to pay when claiming. For example, if you choose a voluntary excess of £350 and a compulsory excess of £100 is applied, the total excess you'd pay would be £450. This answer specifically relates to Tesco Bank Car Insurance. For an answer relating to Box Insurance, please select the Box Insurance FAQ category or use the search box at the top of the page.