Think twice before increasing your insurance excess levels

A major provider of discount car insurance quotes has recently warned harried motorists looking to save a few pounds that they should think twice if they’re considering raising the excess levels on their motor car insurance in a bid to save cash.

Insurance provider AXA says that, based on its own research, one out of every ten drivers in the UK have increased their excess levels since 2010 in an attempt to cut their car insurance rates to more manageable levels.  However, this has led many to push their excesses to such heights as to be unaffordable in the event of an accident, as 61 per cent of motorists raising their excess reported not being able to cover the cost.

AXA found that nearly three out of every ten drivers lack the requisite cash to pay their excess in the event that it was required, making the suggestion that too many poorly maintained and damaged cars are on the UK’s motorways, endangering the wellbeing of their drivers and other users of the road. ¬†AXA representative, Sarah Vaughan, remarked that the insurance industry has a responsibility to ensure drivers realise that there are consequences for committing to an extraordinarily high voluntary excess upon purchasing their cover and to encourage these drivers to select an excess figure that is sensible for their economic situation.

While it is true that premium prices have increased by a wide margin over the past few years, leading to drivers investigating ways to save cash, Ms Vaughan said it’s ‘a completely false economy’ to select an excess that would be unaffordable.

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