How much you choose to pay if you make a claim. This is usually agreed when you take out the policy. Having a higher voluntary excess could bring down the cost of your premium (just make sure you can afford both the voluntary and compulsory excess if you have to claim).
Voluntary excess is a term commonly used in car insurance in the UK. It refers to the amount of money that a driver agrees to pay towards any potential insurance claim before their insurance provider covers the rest.
In the UK, when purchasing car insurance, drivers have the option to set their own voluntary excess amount, in addition to the compulsory excess set by the insurance company. The voluntary excess is chosen by the driver and can vary depending on their preference and circumstances.
By opting for a higher voluntary excess, drivers can often lower their insurance premiums as it shows a willingness to take on a larger share of the financial risk in case of an accident. On the other hand, selecting a lower voluntary excess means drivers will have to pay less out of pocket in the event of a claim, but their insurance premiums may be higher.
It is important for UK drivers to carefully consider their financial situation and driving habits when deciding on a voluntary excess. It is also essential to ensure that the chosen amount is affordable and strikes the right balance between potential savings and potential out-of-pocket expenses in case of an accident.