July 31, 2018

What is an “Excess”?

Written by Rob Hartley

Dinghy Co-Founder

This article will help you know what an insurance excess means, and why it is important to consider it before you buy

An insurance “excess” is the amount you pay towards a claim. So if a claim costs in total £1,000, and there is an excess of £100; you pay £100 as contribution to the claim and the insurer pays £900.

The amount of insurance “excess” will change on your insurance provider. Some are fixed amounts; others allow you to change your excess, by charging you more premium upfront for a lower excess.

There are also different excesses based on the insurance product you buy. For instance, car insurance will have a different excess from a large hotel.

At Dinghy, we have a zero excess on our Professional Indemnity insurance. That means that if you have a claim you will pay nothing towards the costs. We want you to talk to us as soon as there is a problem, and not try and fix it by yourself. So we don’t want you to think that you can get it fixed cheaper – you can’t!

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About Rob Hartley

Rob Hartley ACII has worked in insurance for over 17 years in Europe, USA and the Caribbean. He is inspired to improve the image of insurance and bring it back to being a social good. Having also worked as a freelance web developer and an insurance consultant he is passionate about improving insurance for freelancers. In 2017 he co-founded getdinghy.com, a B Corp (pending) insurance provider that specialises in freelancer insurance.

Read more blog posts by Rob Hartley


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