Travel Insurance Excess Explained

An excess is the part of a claim you pay first. The insurer pays the rest, up to the policy limit. A small claim can be eaten up entirely by the excess, so check the figure before you buy.

This guide belongs to our trust and enquiries topic. The glossary entry on travel insurance excess gives a short definition.

What does an excess do to a claim?

Picture a claim for a lost bag. You take the claim amount, subtract the excess, and that is what the insurer pays.

If the claim is smaller than the excess, you receive nothing. That is the main reason people feel surprised.

What does a worked example look like?

The numbers below are round and for illustration only. They are not real prices, and they use no particular currency.

Claim amount	Excess	Insurer pays	You pay
700	100	600	100
100	100	0	100
60	100	0	60

In the last row the claim is below the excess, so there is nothing to claim.

Where do we find the excess in a policy?

It can sit in three places:

The benefit table, usually as a column beside each cover.
The definitions page, in plain wording.
A section on a specific cover, such as baggage or medical.

If you find more than one figure, ask the provider which one applies to which claim.

How does an excess interact with more than one claim?

Some policies apply the excess to each event. On a honeymoon, a delayed bag and a medical visit could be two claims, and you could pay twice.

Ask whether the excess is per claim, per person or per trip, and whether there is any way to reduce it by paying a higher premium. The trade-off is yours to weigh.

Should we choose a lower or higher excess?

Neither is always better. A lower excess lowers what you pay in a claim, and a higher excess can lower the policy price.

Think about what you are protecting. If your main fear is a large medical bill, the excess on the medical section matters more than the one on baggage. See what is worth buying.

What if we are covering a remote island?

Evacuation and urgent medical care can involve larger sums, so check whether the excess applies. Our guide on insurance for remote island honeymoons explains the questions to ask.

For the general picture of what a policy covers, read what honeymoon travel insurance covers.

What should we do next?

Open the benefit table and circle every excess figure.
Work out your own example with round numbers.
Ask the provider whether the excess is per claim or per person.
Pick the policy that suits the risks you worry about most.

Questions couples ask

Is an excess the same as a deductible?

In everyday use, yes. Both mean the first part of a claim that you pay yourself before the insurer pays the rest. Some policies use one word, some the other. Look for it in the benefits table and the definitions page.

Is the excess charged per claim or per policy?

It depends on the policy. Some charge it for each separate claim, others for each person or each event. Ask the provider which applies, because two claims on one trip can cost you twice.

Does a lower excess mean a better policy?

Not by itself. A lower excess usually comes with a higher price for the policy, or different limits. Compare the whole cost of the policy and what you would pay in a likely claim.

Do all sections of a policy have an excess?

No. Medical, baggage and cancellation sections can have different excesses, and some have none. Check each section, since the one that applies to you may be the one with the highest.