What is the property damage excess under the untraced drivers agreement?

The property damage excess under the untraced drivers agreement is set at £400. This specific excess applies when a policyholder makes a claim for damage resulting from an accident with a driver who cannot be traced. The purpose of this excess is to encourage drivers to be diligent and responsible when operating their vehicles, as well as to manage the costs insurance companies face when dealing with claims involving untraced individuals.

In the context of motor insurance, the untraced drivers agreement plays a crucial role in protecting policyholders who may find themselves victim to hit-and-run incidents. By having a defined excess, it helps in balancing the financial risk between the insurer and the insured. When a claim is made under this agreement, the policyholder will need to pay the excess amount before the insurer compensates for the remaining damages. Understanding the implications of this excess is vital for drivers to ensure they are adequately prepared in the event of such incidents.