What is an excess in car insurance?

30 January 2020

Car insurance is super important. But it can also be super complicated. That's why here at Bingle we try to make things as simple as possible.

An excess payment refers to the amount of money you'll need to pay when you make an eligible insurance claim under your policy. We'll cover the rest of the repair or replacement costs up to your policy limits¹.

Excess is one of those insurancey things that can cause confusion. In short, it is the amount that you contribute to a claim. Some claims will attract various types of excess, while some claim types won't attract an excess at all, depending on the circumstances.

Different insurers will have different minimum excesses, which is why it's important to take excesses into consideration when deciding on the right policy for you. You may be able to raise or lower your excess on your comprehensive car insurance policy depending on how much of a premium you want to pay upfront, but be aware of the shift in cost this may cause it comes claim time.

When do I have to pay car insurance excess?

For Bingle customers, if an excess applies to your claim, we'll usually ask you to pay it when you first lodge your claim. If you can't pay your excess at claim lodgement time, it won't impact your ability to make a claim and you can choose from one of our options, how to pay your excess.

In some instances, it may be waived.

Types of car insurance excess

Depending on the circumstances of the incident that led to your claim, more than one excess might be applicable to your claim. Here at Bingle we have three types of excess:

a standard excess that applies to all claims, unless otherwise stated in your Product Disclosure Statement (PDS)
an age excess, which applies if you, or the driver using your car at the time of the incident, is under 25 years old, and
an unlisted driver excess which applies if the driver using your car at the time of the incident was a household member or regular driver, and who was not a listed driver on your policy. This excess will not apply to learner drivers as long as another driver listed on the policy is a passenger in your car.

Claims Payment examples and information about excesses can be found in our Premiums, Excesses and Claims Guide (PED).

How much is a standard car insurance excess?

For Comprehensive Car Insurance your standard excess will vary depending on your State or Territory where the car is kept and the amount you selected when you bought or renewed your policy.

For Third Party Property Damage policies, the Standard excess varies based on which State or Territory you’ve noted for where the car is kept. Your excess can be found in your Insurance Schedule.

Compare our Comprehensive Car Insurance and Third Party Property Damage Car Insurance to see the different options. Read the PDS to see the different excesses that may apply if you need to make a claim.

Already part of the Bingle family? View your standard excess and additional excess amounts on your Insurance Schedule - get a copy of this in Policy Self Service.

Can you reduce your car insurance excess?

Here at Bingle, on our Comprehensive Car Insurance, we offer a range of excesses depending on your state. When looking over quotes, try testing out different levels of excess so you can choose the cover that suits your needs and budget. Keep in mind that your premiums will change depending on what your excess is. So, if you have a higher standard excess you're likely to pay less on your premiums.

For our Third Party Property Damage insurance, our excesses are set amounts, (you're not able to opt for a higher or lower excess when you buy a policy). Your excess can be found in your Insurance Schedule.

Get A Bingle Car Insurance Quote

Understanding car insurance excess is important, because if you need to make a claim this may be your out of pocket expense. For more information about the excess that applies to your Bingle Car Insurance policy, check out the details in your PDS and on your Insurance Schedule or go to our Help Centre.