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What is insurance excess?

hsbc premier travel insurance excess

It’s usually a pre-agreed amount. Your insurer will then contribute the rest – up to the limit of the cover. You’ll see insurance excess on insurance products like travel, motor, home and health.

If you’ve pranged your car or broken your phone, you may know all about insurance excess. But if you’ve never made a claim, you might not have given it much thought.

For example, did you know that increasing your excess could save you money? Here, we explain how it works and things to consider. 

Insurance explained

Insurance can provide financial cover if the unexpected happens and things go wrong. This may include theft, loss, injury or accidental damage. 

Some types of insurance are optional – such as life insurance – but others are required by law. For example, you’ll need basic car insurance to legally drive a car in the UK.  

Find out more about  how much life insurance you need  and what  insurance you need with your mortgage .

What you can claim, and the amount, depends on the type of insurance you have and what’s in your insurance policy.

How does insurance excess work?

If you want to claim £1,000 on your car insurance, to cover the cost of accidental damage, you’ll be expected to pay the excess, let’s say £250. The insurer will then contribute £750, if agreed in your policy.

You usually have to pay every time you make a claim, but not always. For example, if you were in a car accident that wasn’t your fault, you wouldn’t be expected to pay – or your excess would be refunded.

Some insurers may have different excess amounts under a single policy. For example, a  home insurance policy  may have a £100 excess for accidental damage but a £1,000 excess for claims that are likely to be more expensive, such as subsidence.

Find out more about why home insurance is important  and how to  compare home insurance policies .

Your policy should clearly tell you what excess you’ll need to pay and when – if you ever need to make a claim.

What is compulsory and voluntary excess?

There are two types of excess:

  • compulsory excess (the amount set by the insurer)
  • voluntary excess (the amount you can choose to pay)

What is compulsory excess?

This is the amount you have to pay towards an insurance claim. It’s set by the insurer when you take out the policy and can’t be changed. Compulsory excess can vary across policies – from zero to over £1,000.

It can be particularly high for certain types of insurance. For example, young drivers have a higher excess on their insurance, as they’re considered higher risk than experienced drivers.

What is voluntary excess?

With many types of policy, such as car insurance, you can choose how much excess you’re willing to pay, within a given range. 

This is an optional amount you can pay towards an insurance claim – on top of the compulsory excess. For example, if your policy has a compulsory excess of £150 and you add a voluntary excess of £100, you’ll need to pay £250 if you make a claim.

Can raising your excess save you money?

Increasing the voluntary excess on your insurance can be financially worthwhile in some cases. But you need to weigh up the pros and cons, to help you decide if it’s the right option for you.

Adding a voluntary excess can lower the cost of your insurance premium – the amount of money you pay for an insurance policy. This is because the insurer won’t have to pay out as much in the event of a claim. 

Paying a lower premium means that you can save money on your insurance cover. 

However, you should consider your total insurance excess and make sure it’s at a level you feel comfortable paying, in case you ever need to make a claim. Don’t raise your voluntary excess beyond what you could afford to pay towards a claim.

Things to consider before raising your excess:

  • you need to be able to cover the cost of the excess in the event of making a claim
  • some policies can increase the excess over time

Bear in mind – you may not have to pay the excess upfront when making a claim – it can sometimes be deducted from the money the insurer hands over. But you’ll still need the money available, to make up the shortfall.

Before you buy any insurance product, it’s important to read the policy and understand the details, including costs – to make sure you get the cover you need.

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Get coverage for most new items purchased that are damaged or stolen within 90 days of the date of purchase, up to $1000 per claim.

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1 How Points are earned: You earn Points when you use your card to make new purchases (minus returns, credits and adjustments). Rewards Points earn rate applies after any introductory period. Monthly spend chart is for illustration purposes only. Your spending and Rewards Points may vary.  

All Reward option items are subject to limited availability and to the terms, conditions and restrictions imposed by suppliers. New items may replace selections, and certain items may be discontinued at any time, without advance notice. When necessary, HSBC Bank USA, N.A. may substitute a Reward of equal or greater value without advance notice. The customer will be notified of such a change when ordering. Redemption levels, Point values and availability are subject to change without prior notice. 

You can receive Cash Back redemptions as a direct deposit or as a statement credit to your HSBC Premier World Mastercard credit card. If you select Cash Back as a direct deposit, only HSBC Bank USA, N.A. consumer checking and savings accounts in your name alone or as a joint accountholder are eligible.

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3  Apple Pay works with iPhone 6 and later in stores, apps, and websites in Safari; with Apple Watch in stores and apps; with iPad Pro, iPad Air 2, and iPad mini 3 and later in apps and websites; and with Mac in Safari with an Apple Pay enabled iPhone 6 or later or Apple Watch.   For a list of compatible Apple Pay devices, see https://support.apple.com/km207105 .

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8  As an HSBC Premier credit cardholder, you do not need to enroll or register for the Mastercard Travel Rewards program. This program is available to you automatically, at no additional cost. Merchants may provide to eligible HSBC Premier Mastercard credit cardholders (“cardholder”) certain discounts, rebates or other benefits on the purchases of goods and services ("Offers") that will be available on the Mastercard Site. Merchants may also have different payment acceptance criteria for online purchases (e.g., debit or prepaid cards may not be accepted). Such Offers are subject to certain Terms & Conditions and may change at any time without notice to you. Payment acceptance criteria is determined by the merchant in its discretion and may be visible on the Merchant website. HSBC or Mastercard will not be liable for any loss or damage incurred as a result of any interaction between you and a merchant with respect to such Offers. Except as set forth herein, all matters, including but not limited to delivery of goods and services, returns, and warranties are solely and strictly between you and the applicable merchants. You acknowledge that HSBC or Mastercard does not endorse or warrant the merchants that are accessible through the Mastercard Site nor the Offers that they provide. If applicable, all offer redemption is dependent on merchant shipping policies and availability to cardholder's shipping address. For all offers that are specified as “unlock additional online offers” cashback is not earned on shipping, handling, tax or the purchase and/or use of gift vouchers, which for avoidance of doubt, includes gift cards, gift certificates, or any other similar cash equivalents. Terms and conditions apply, visit  https://mtr.mastercardservices.com/en/i/3705/faq  for additional information. All third party-trademarks are the property of the respective owners.

9  To be eligible for the campaign benefit, you must successfully enroll in the program within the specified enrollment period beginning April 1, 2024, through June 30, 2024. Bonus Points accumulation starts on the date after which you successfully enrolled into the program through the end of the campaign period June 30, 2024. Transactions made outside of this period are not eligible. Bonus points accrue based on Elite or Premier Credit Card type at the time of enrollment and will not change if account is moved to another HSBC credit card. Your credit card account must remain open, active, and in good standing to continue receiving the campaign benefit. By enrolling in the credit card campaign benefit, you confirm that you have read, understood, and agreed to the above terms and conditions and, you consent to receiving communications regarding the campaign benefit and related promotions via email or other means of communication provided by you. HSBC Bank USA, N.A. reserves the right to modify, suspend, or terminate the campaign benefit and its terms at any time without prior notice.

From April 1, 2024, through June 30, 2024, HSBC Premier Mastercard credit cardholders in good standing and after successful enrollment, will earn two (2) Rewards Program Points (one Rewards Program Point and one promotional Point), up to $2,000 on net new purchases made at stores or retailers classified under the following merchant category codes (MCC): (5311) Department stores, (5611) Men’s and boys’ clothing and accessory shops, (5621) Women’s Ready to Wear Clothes (5651) FAMILY CLOTHING STORES, (5661) SHOE STORES, (5691) MEN’S AND WOMEN’S CLOTHING STORES , (5977) COSMETIC STORES. HSBC is not responsible for 1) the merchant’s transaction description, 2) the exclusion of merchants within a merchant category code, 3) delays in the merchant submitting the transaction, or 4) if the transaction date provided by the merchant differs from your actual purchase date. If at any point during the campaign you are no longer a Premier credit cardholder, you may no longer qualify to receive this offer.

10  Certain restrictions, limits and exclusions may apply. Please see your HSBC Premier World or HSBC Elite World Elite Mastercard® credit card Rewards & Benefits and Mastercard Guide to Benefits brochure for details.

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HSBC Premier World Mastercard

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Spending just got more rewarding

With an HSBC Premier World Mastercard, you can choose to earn Rewards Plus or Qantas Points. The perks continue at home and away, with no annual fees, exclusive discounts, complimentary travel insurance, and so much more. 

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Annual fee $0 

Interest-free period on purchases Up to 55 days[@cards-up-to-55-days] 

Interest rate for purchases 19.99% pa 

What you get with an HSBC Premier World Mastercard

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Say goodbye to annual fees

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Earn rewards your way

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Save with Agoda and Expedia

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Enjoy bespoke airport experiences

Your card, your choice.

Choose the rewards program that works best for you.

Rewards Plus

The HSBC Rewards Plus program lets you earn points and transfer them to other airline reward programs, or redeem for cashback or gift cards

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  • Redeem your points for cashback, gift cards, or travel

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Qantas Rewards

Your Qantas Points will take you where you want to go.

  • Earn 1.5 Qantas Points per $1 spent on eligible purchases, up to $120,000 during the first 12 months of your account, and 1 Qantas Point per $1 in subsequent years [@cards-premier-qantas-points]
  • Unlock bespoke offers from 27,000 local and global retail partners with our home&Away Privilege Program [@accounts-homeaway]

Get even more with your Premier World Mastercard

  • Complimentary travel insurance Get domestic and international travel insurance with rental vehicle excess insurance in Australia, transit accident insurance, extended warranty insurance, and purchase protection insurance[@cards-complimentary-insurance]
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What you need to know, card tradeoffs.

Compared to the HSBC Low Rate Credit Card, the HSBC Premier World Mastercard has a:

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  • Higher overseas transaction fee

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To apply for an HSBC Premier World Mastercard, you'll need to:

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COMMENTS

  1. Worldwide Travel Insurance

    Worldwide cover for you, your partner, your dependent children and grandchildren. The cover is for you (the HSBC account holder) and your domestic partner - if you're both under 70 years of age on the start date of your trip - and any dependent children or grandchildren travelling with you. Your children are also covered if they're staying with ...

  2. PDF Your HSBC Worldwide Travel Insurance Policy Wording

    All lines open: 24 hours, 365 days a year. You can also go online HSBCTravel.myclaimshub.co.uk to report travel claims which are not as a result of a medical emergency. All lines open: 24 hours, 365 days a year. Complaints about a claim. 0800 0512 558. 0800 051 7459. All lines open: 24 hours, 365 days a year.

  3. PDF Travel Insurance HSBC Premier Worldwide Travel Insurance

    Product: HSBC Premier Worldwide Travel Insurance. Registered in Scotland No. 2116. Registered office: Pitheavlis, Perth PH2 0NH. Authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority. Firm Reference Number 202153. This is a summary of our insurance policy.

  4. PDF Your HSBC Premier Worldwide Travel Insurance

    Your HSBC Premier Worldwide Travel Insurance Policy Wording E ective from 1 July 2018 Policy Number: 011012 Please take time to read this booklet as it contains important information. To be eligible you and any insured persons need to be: Under 70 when your trip starts. A resident of the UK.*

  5. Premier Travel Insurance

    As part of your HSBC Premier experience, you enjoy the benefit of Premier Worldwide Travel Insurance at no extra cost. Our cover gives you, your partner, dependent children and grandchildren under 23 years of age worldwide protection. Premier Worldwide Travel Insurance is underwritten by Aviva Insurance Limited. Policy terms and conditions apply.

  6. Travel Insurance Claims

    Make a claim online. All medical emergency lines are open 24 hours a day, 365 days a year: All travel claim lines are open 8am to 6pm Monday to Friday and 8am to 6pm on Saturdays, closed Sundays. For HSBC Premier. Medical emergency line: +44 (0)1603 605 135. For travel claims: +44 (0)1603 605 122. For HSBC Private Banking and Premier (retained ...

  7. What Is Insurance Excess?

    Insurance excess is the amount you have to pay towards the overall cost of an insurance claim. It's usually a pre-agreed amount. Your insurer will then contribute the rest - up to the limit of the cover. You'll see insurance excess on insurance products like travel, motor, home and health. If you've pranged your car or broken your phone ...

  8. PDF premier-travel-insurance-terms

    Terms and Conditions for HSBC Premier Customers. Travel Insurance is provided and underwritten by Atlas Insurance PCC Limited (Atlas) and not by HSBC. Atlas issues a Master policy to HSBC Bank Malta p.l.c. under reference number: 167064 299 002 (Master Policy Contract Period effective from 01.01.2021 till 31.12.2021)

  9. PDF Limits and Excesses Schedule for HSBC Premier Customers

    HSBC Bank Malta plc - Premier Cardholders Travel Insurance Policy Terms _ 05.2023 8 Limits and Excesses Schedule for HSBC Premier Customers Atlas will not pay more than the following sums insured, benefits or limits in the Period of Insurance All Limits and Excesses are per Insured Person per Trip Maximum period per Trip: 90 days Section No

  10. HSBC Premier Credit Card

    You could be at the ballpark to see your favorite team play in the MLB® Postseason™ - compliments of your HSBC Premier Mastercard® Credit Card. Enter weekly until 9/29/24, and if your team makes it to the 2024 MLB® Postseason™, you could win two (2) tickets to a home game - even the World Series®. Visit baseballsweeps.mastercard.com ...

  11. PDF Premier Insurance

    International Travel Insurance • Overseas Emergency Assistance ... • Transit Accident Insurance Cardholders of HSBC Premier Visa Platinum Debit Cards are only eligible for: ... be excess insurance cover over and above the applicable Other Policy. 3 Sanctions

  12. PDF Personal Cards Complimentary Insurance

    your travel group leader if you travel in a group, your bank (HSBC) if you are the beneficiary of the bank's credit card insurances, insurance reference bureaux, and our related and group companies including Allianz. Some of these third parties may be located in other countries including in Europe, Asia, Canada, or the USA.

  13. PDF Group Travel Insurance (HSBC Bank Malta p.l.c.)

    The HSBC travel Insurance policy will cover you once you become eligible for cover and will also cover your spouse or partner living with ... (HSBC Premier Accounts) Atlas Insurance PCC Limited, 47-50, Ta' Xbiex Seafront, Ta' Xbiex XBX 1021 ... Hire Vehicle Excess cover for specific trips: 4 options available - €350 or €500 or €750 or ...

  14. PDF Travel Insurance Summary of Benefits Please refer to the ...

    Travel Insurance Summary of Benefits ... As an HSBC Premier MasterCard Credit Cardholder, travel insurance is available to you free of cost provided that you have purchased return airline tickets, before departure, using your HSBC Premier ... • Re-Routing Costs Due To Travel Delay in excess of 12 hours up to $1,000 (Family Limit $2,500) ...

  15. PDF Your HSBC Premier Worldwide Travel Insurance

    Your HSBC Premier Worldwide Travel Insurance Policy Summary and Policy Wording Effective from 01 December 2017 Policy Number: 011012 Please take time to read this booklet as it contains important information. To be eligible you and any insured persons need to be: • Under 70 when your trip starts. • A resident of the UK.*

  16. Premier World Mastercard

    HSBC Premier Credit Card provides you with a wide range of exclusive benefits. Find out more about our Premier Credit Card and enjoy our premium service. ... Get domestic and international travel insurance with rental vehicle excess insurance in Australia, transit accident insurance, extended warranty insurance, and purchase protection ...

  17. Travel Insurance

    The service operates 24/7, 365 days a year for advice and assistance when making arrangements for hospital admission, repatriation and authorisation of medical expenses. Over the phone: +44 (0) 292 066 2438. By email: [email protected]. Premier customers should quote Atlas Policy Certificate number - Travel: 167064 299 002.

  18. Coronavirus Travel Insurance FAQs

    HSBC - Channel Islands & Isle of Man. Contact and support. Coronavirus guidance. Travel Insurance FAQs. Learn more about your rights if your travel plans have been disrupted by the coronavirus (COVID-19) outbreak. As new guidance is announced, the information on this page may change. Please check back regularly for the most up-to-date ...

  19. PDF Your HSBC Premier Worldwide Travel Insurance

    contact HSBC. 03457 70 70 70 Textphone 03457 125 563 Lines open: 24 hours, 365 days a year. Travel Claims Use this number to report any travel claims, which are not as a result of a medical emergency. Within the UK 0800 051 7459 Outside the UK +44 1603 604 910 Lines open: Mon-Thurs (8am - 6pm) Fri (8am - 5.30pm) Legal Expenses Claims and Advice

  20. Elektrostal, Russia Weather Conditions

    Elektrostal Weather Forecasts. Weather Underground provides local & long-range weather forecasts, weatherreports, maps & tropical weather conditions for the Elektrostal area.

  21. PDF HSBC Bank Malta p.l

    Introduction and Eligibility. As an HSBC Premier Cardholder, You are entitled to benefit from free travel insurance cover under the policy issued to the Bank provided that payment guarantee, full or part payment is made by the Account Holder's Card. for flights and/or marine transport services and/or travel accommodation related to a Trip.

  22. File:Flag of Elektrostal (Moscow oblast).svg

    Permission is granted to copy, distribute and/or modify this document under the terms of the GNU Free Documentation License, Version 1.2 or any later version published by the Free Software Foundation; with no Invariant Sections, no Front-Cover Texts, and no Back-Cover Texts.A copy of the license is included in the section entitled GNU Free Documentation License.

  23. Elektrostal, Moscow Oblast, Russia

    Elektrostal Geography. Geographic Information regarding City of Elektrostal. Elektrostal Geographical coordinates. Latitude: 55.8, Longitude: 38.45. 55° 48′ 0″ North, 38° 27′ 0″ East. Elektrostal Area. 4,951 hectares. 49.51 km² (19.12 sq mi) Elektrostal Altitude.