An all section excess means just that. It is an excess (your responsibility) that you have to pay for all claims made against the policy. So if the third party claims against your Insurance, you have to pay £3k, even if the claim is below that amount.

This is pretty silly. You would be better to pay the third party for the amount of damage to their car, if the amount of claim is below £3k.

Get a complaint registered urgently with your Insurers in writing, by sending a recorded delivery letter. Tell them that the £3k all sections excess is a complete nonsense and could be viewed as unfair under the Consumer Protection from Unfair Trading Regulations 2008 act. Advise them to provide full details of the claim made against the policy, so that you can review any options that may be available. Make it clear to them, that if you cannot obtain satisfactory conclusion to your complaint, you will refer the matter to the FOS and OFT.

Hi , I took out car insurance last year. This was my first car. The only company offering reasonble monthly payments had an all excess of £3k. And yes I was involved in a small collision- Effectively the size of a childs fist-size dent on the OP's car. I was passed to a claims company - service claims who effectively stated they would deal with the case. They suggested I agree to a joint and several liability with the other party. This was sometime in January this yera. I heard nothing from them until yestreday when I received a letter from them stating I needed to pay £3k as I had an all sections excess of £3k. Am I right to have expected paperwork explaining what happened and a b/down of the 'debt' does it mean I am oblidged to pay the full amount of excess even if the total costs for repairs are less than my excess? Pls i need hel as i have been advised to pay with in 7 days or be passed to debt collectors. Pls help!!