The cost of motor insurance excess fees is putting-off a growing number of drivers from actually making insurance claims says new research from industry leaders.

Data published by insurance specialists Finder has revealed that most drivers would never make a claim on their insurance for any damage, unless the repair bill exceeded £667. The shocking figures reveal the extent that insurance companies are getting away with it, with many accidents actually going unreported, with an amazing total of 1.83million drivers (5 per cent) saying they would never make a claim, despite the fact that they have to pay for insurance by law every year.

With fears that the excess is more costly than the actual repair itself, or that making a claim will push up future insurance premiums - the fact that many refuse to even bother claiming suggests that the insurance industry needs fixing.

“If you combine the compulsory and voluntary excess levels with the potential of losing your no claims bonus and facing increased premiums, the long-term financial outlay isn't always worth it for many who suffer a minor accident,” said Danny Butler at Finder.

“In addition, there's usually a number of hoops to jump through when making a claim such as using an approved repairer or submitting detailed evidence of your claim.

“However, if you've been unfortunate enough to be involved in an accident, it's still important that you drop your insurer a quick line even if you choose not to claim. You should let them know the details of the event and be clear in the fact that you don't wish to claim on the insurance.

“If you don't notify your insurer, you run the risk of invalidating your insurance which can result in you being uninsured for any future claims.”

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