What Is Policy Excess?

Policy Excess Explained

Your policy excess is the combination of all excess amounts that apply when you make a claim. Unlike a single flat fee, Australian insurance policies often layer multiple excess components depending on the type of event and your individual risk profile.

Understanding your policy excess structure before a claim event occurs prevents unpleasant surprises. The total excess you pay can vary significantly between different types of claims on the same policy.

How Policy Excess Affects Your Claim

When Oxide Construct manages your insurance repair, we work with you and your insurer to ensure the excess component is clearly communicated upfront. The excess is typically payable directly to the repairer before or during the repair process.

• •Your excess is deducted from the total approved claim amount — you pay it; the insurer pays the rest.
• •If the total repair cost is less than your excess, there is no benefit in lodging a claim (you would pay the full cost either way).
• •Each separate claim event attracts its own excess — if a storm and a burst pipe occur on different dates, each claim has its own excess.
• •Some insurers offer excess-free claims for specific events or for long-term customers with no prior claims.

Important: Always check your Product Disclosure Statement (PDS) for the full excess schedule, including any event-specific excess amounts for flood, earthquake, or cyclone events.

How Oxide Handles This

At Oxide Construct, our technology-driven approach to insurance repair means policy excess is handled transparently. Track your claim in real-time through our platform, with a dedicated assessor as your single point of contact throughout the process.

Related Terms

Further Reading

• Pay Your Excess Online