What is an excess on a self-build policy?
The excess is the amount deducted from each claim, which you bear before the insurer pays anything.
Quick answer
- What it is
- An amount taken off every claim. It is on your policy schedule.
- When you pay it
- Per claim, not per year. Two separate losses mean two excesses.
- Can it vary
- Yes. Some policies set a higher excess for certain causes, such as theft or water damage, or for particular items.
- What to ask
- The excess for each type of loss, and whether a higher excess lowers the premium.
How it works in Ireland
One published self-build wording defines the excess as the total amount you bear, deducted from each and every claim for damage before the insurer is liable to pay. So if a claim comes to €8,000 and the excess is €1,000, the insurer pays €7,000. If the loss is smaller than the excess, nothing is payable.
The same wording says the insurer is not liable for the amounts shown as the excess in the schedule. The schedule is where to look. It may show more than one excess, for example a different one for particular causes of loss or for plant and tools. Read the schedule as well as the quote summary, because the summary may show only the main figure.
A higher excess can lower the premium, but it changes what a claim feels like on a building site, where small thefts and weather damage are common. Pick a figure you could pay on the day without delaying the build. A claim you cannot afford to make is a claim you will not make.
When a claim will clearly exceed the excess, the liability section of the same wording says you pay the excess to the insurer before it pays damages or defence costs, and it is refunded if the claim settles for less. That applies to the liability cover, not to damage to the works. Ask your broker how the excess is handled on a works claim.
A common mistake
Comparing quotes on premium alone. A cheaper quote may carry a higher excess, or a higher one for theft or for hired plant. Line up the premium, the excess for each cause of loss and the sum insured side by side before choosing.
The full guide
This page defines the term. The guide below covers what to do about it.
Self-build insurance in Ireland: what you need and when
What self-build insurance covers in Ireland, how to get a project-specific price, and what to check before accepting a quote.
Sources
Last reviewed 23 October 2026. Rules and figures change, so confirm anything important with the source before you rely on it.