What is a no-claims bonus or NCB?

A no-claims bonus is something that you can build up over time as a driver. Essentially, it measures how many years you have gone without making a claim on your insurance. Insurers see this as a good measure of your driving safety and overall ability.
Each year you go without making a claim, you add a year to your NCB and this can continue beyond 15 years!
Although there is no specific discount applied for an NCB (it will vary from insurer to insurer), it is a recognised indicator of safe driving and experience behind the wheel.  For more ways to save on your car insurance, check out this blog post.

How do I know how many years of NCB I have?

Your current insurance provider will be able to tell you how many years of NCB you have managed to build up.
You will need this when switching insurance provider, as you will need to prove that it is what you say it is.

How many cars can I use my NCB on at once?

Unfortunately, you can use this on one vehicle at a time. This means that you may have a 10-year NCB on one car, but 0 on another.
If you take out a second policy on an additional car, you could start to earn another no-claims discount on this vehicle.

Is it just the policy holder who can earn an NCB on the policy?

Yes. It is only the policy holder who can earn an NCB on the car, even if you are a named driver.
However, you may consider speaking to your insurer if you are unsure as some specialist providers may make exceptions under their policy.

For how long does an NCB last?

If you are an insured driver, there is no need to worry about your NCB going anywhere.
However, if you have taken a two-year break from driving or insuring a private car, you will have lost your NCB and will be back at 0.
Discussing it with your insurer could remove any doubts you have surrounding the topic. Here, you can explain your particular set of circumstances so that you fully understand the causes and consequences of losing your NCB.

What is a protected no-claims bonus?

Most insurers will offer you the option to protect your NCD at the end of your quote. This means that you will not lose your bonus, even if you do make a claim. For example, if you have an 8-year NCB and you choose to protect it, if you make a claim, it will not affect your discount.
It is still necessary for you to declare any claims or accidents you have had when organising your insurance. If you fail to do so, the insurer may cancel your insurance and it will become invalid.

I have a no-claims discount from abroad- is this valid?

This depends. Some companies will accept proof of no-claims bonus from outside of the UK. In the EU, a translated copy is usually sufficient and can normally be used. By talking to your insurer directly, they will be able to tell you what they can and can’t accept as proof of NCB.

A no-claims bonus is a useful discount you can build up overtime and use to get money off your insurance. The size of the discount and the proof they will need will depend on the insurer, though it is typical for UK insurers to accept NCB built up from Europe. You can choose to protect your NCB as a claim will negatively affect the years you have worked to build up. If in doubt, call us on 0333 222 4005 to speak to one of our experts!  Alternatively, if you want to find out more about the no-claims bonus, click the link here.