When it comes to making an insurance claim, you may be confused by the 'excess' charge you will be required to pay. Don't be alarmed by the technical definition!
Put simply the "excess" of a travel insurance policy is the (pre-arranged) amount that you agree to pay before a claim is processed. An excess is standard procedure within insurance. Full details of these are displayed within the Policy Wording.
The amount of excess that you need to pay, will depend on what section of the policy you are claiming, what level of cover you select and the travel insurer but typically:
Low Levels of Cover Have A High Excess
For example, with Essential Travel a 1 week, Standard European Single Trip policy for 1 adult aged 19 years, will cover you for up to £2.5 million of medical expenses with a higher excess of £125. This policy costs £7.88.
High Levels of Cover Have A Low Excess
For example, with Essential Travel a 1 week, Superior European Single Trip policy for 1 adult aged 19 years, will cover you for up to £10 million of medical expenses but comes with a reduced excess of £75. This policy costs £13.25.
As you can see, in this scenario, by forking out a little bit more for a higher level of cover, you do in fact reduce the excess amount you will need to pay in the event of a claim.
If paying an excess seems unfair, fear not, you could avoid it altogether with a bit of forward planning. Any decent travel insurer will provide you with the opportunity to add on an Excess Waiver to your policy which enables you to avoid paying any excess at all in the event of a claim!. An Excess Waiver will cost from £4.33 with Essential Travel.
The excess amount will vary depending on the travel insurance provider and unfortunately the cheapest travel insurance policies do have the highest excesses. It's not uncommon to see an excess as high as £300 on price comparison websites. Read more about this in my blog - Beware of Price Comparison Sites