Here at Bingle, we like to keep things simple, and that includes explaining what an excess is for your car insurance.
Think of excess as your share of the bill when you make a claim. You contribute that part, and we take care of the rest, up to your policy limits.
What is a car insurance excess?
An excess is the set amount you have to pay for each claim. It’s what you “chip in” to your claim while your insurer covers the rest of the repair or replacement costs.
The amount and types of excesses that apply to your policy are shown on your insurance schedule.
When do I have to pay a car insurance excess?
We’ll usually ask that you pay the excess when you first make your claim. But if you don’t pay your excess when you first make your claim, it doesn’t impact the cover under your policy or your ability to make a claim. You can choose how to pay your excess in accordance with your options detailed in the relevant PDS.
In some cases, we might waive the excess altogether. This is if you can prove you or the driver didn’t contribute to the accident (this means the other driver was entirely at fault), and give us the at-fault drivers:
- name
- address, and
- vehicle registration.
What is the purpose of a car insurance excess?
The purpose of a car insurance excess is to share the cost of a claim between you and your insurer. You pay the applicable excess, and your insurer pays the remaining covered costs, up to the limits of your policy.
For Bingle Comprehensive Car Insurance, you can choose a standard excess from a set range. Choosing a higher excess generally lowers your premium, while choosing a lower excess generally increases it.
This lets you balance what you pay for cover with what you would need to contribute if you make a claim. Remember that a higher excess means a larger out-of-pocket payment at claim time. The excess for Third Party Property Damage cover can’t be varied.
Does an insurance excess apply to each incident?
Yep - an excess applies per incident, not just once for your whole policy period.
Types of car insurance excess
Bingle has three main types of car insurance excess that could apply, depending on the situation.
Standard Excess
This is your base excess. It applies to all claims, unless otherwise stated in you Product Disclosure Statement (PDS).
With Bingle Comprehensive policy, you can choose the standard excess amount from within a provided range.
You can't vary your excess with Third Party Property Damage cover.
Age Excess
This excess is $600.
This excess is applied if a driver is under 25 years of age is using your car at the time of the incident. This excess is in addition to the standard excess.
Unlisted Excess
This excess is $1,950.
This excess applies when the person driving your car at the time of the incident is a household member or regular driver who isn’t listed on your policy.
Good news: this won’t apply if the driver is a learner (L-plate) as long as another listed driver on the policy is a passenger in your car.
How much is a standard insurance excess?
The amount and types of excesses that apply to your policy are shown on your insurance schedule.
Better yet, log in to Bingle Online Services and check your policy information!
Can I reduce my car insurancee excess?
With a Bingle Comprehensive Car Insurance policy, you can choose a standard excess from within a set range. While you can increase your excess at any time, you can only lower your excess when you get a quote or when your policy renews.
Here’s how it works:
- Higher excess = lower premium
- Lower excess = higher premium
The choice comes down to your budget and how comfortable you are with the excess amount.