No Claims Bonus – Answering Your FAQs, named driver no claims bonus.#Named #driver #no #claims


How does the no claims bonus system work?

We re asked a lot of questions about the no claims bonus system; we agree that the topic can seem pretty complicated, whether you re new to insurance or you ve been driving for years. We ll try to answer your questions here, but please get in touch if you would like more information.

Quick links

What is a No Claims Bonus?

A no claims bonus (sometimes called a no claims discount), is a percentage discount applied to your premium in recognition of a period of claim-free insurance. It s usually calculated and applied each year at the renewal of a policy, or whenever you apply for a new policy. So, if you re a careful driver you present a lower risk to your insurance company and you ll make some great savings on your annual premium.

How much discount will I get?

Insurance companies each have their own scale of no claims bonus, but a typical example might be:

30% discount after 1 year s claim-free insurance

40% discount after 2 years

50% discount after 3 years

60% discount after 4 years

65% discount for 5 years or more claim-free insurance.

I ve been a named driver on my parents policy until now. Can I get a no claims bonus?

A number of insurers do now offer an introductory no claims bonus for named drivers, but the discount they offer you may be different to the discount they offer drivers who ve had an insurance policy in their own name. They may also have restrictions on the minimum age they ll offer a named driver discount to.

To be sure of reaping the maximum benefit from your good driving, you re probably better off getting insurance in your own name as soon as you possibly can. After a year, if you ve had no claims, the savings can be significant.

No claims bonus for second drivers

Second drivers, also called named drivers , usually don t earn their own bonus whilst on someone else s insurance. However some insurers will permit named drivers to earn their own NCD which can be used to get lower car insurance premiums further down the line, but this is usually only the case if you stay with the same insurer.

I ve just changed my car will I have to start earning a no claims bonus from scratch again?

No. Your no claims bonus is earned by you, the policyholder. It doesn t affect your NCB if you change the car that s insured on your policy.

I ve bought a second car can I apply my no claims bonus to both cars?

Unfortunately not. Even though a no claim bonus is earned by the policyholder, you can only apply it to one car at a time. Most times, you ll have to start earning a new NCB on each additional vehicle you insure, but some insurers may allow you an introductory or second car discount if you mention it to them.

What happens to my no claim bonus when I change my insurance company?

This isn t usually a problem. You simply need to ask your old insurance company to supply you (or your new insurer) with proof of your no claims discount (e.g. 3 years, or 4 years). The annual renewal letter from your old insurer may serve as proof of your no claim discount, or you may have to ask them to send specific proof in a separate letter.

There is usually a time limit for you to provide your new insurance company with proof of your no claim bonus (for example 7, 14 or 21 days). If you fail to do so within the time limit, your new policy could be cancelled, leaving you uninsured, or they could increase your premium to reflect the lack of any no claim discount.

The process is usually quite smooth, however, and once proof is received, your insurance company will continue to apply the correct discount to your premium.

Will I lose my no claim bonus if I make a claim?

It depends if your insurance company can recoup the expenses of your claim. For example, if another driver crashes into you and it s undeniably their fault, your insurance company may be able to recover the cost of repairing your car from the other driver s insurance company.

If that happens, you won t lose any of your no claim bonus.

But if you make a claim where you are at fault, or your insurance company can t recover their losses, your no claim bonus will be affected.

Your discount usually steps back by two years for each claim. So, for example, a three year bonus would reduce to one at your next renewal. If you made another at-fault claim, the resulting step-back would result in you losing your no claim bonus altogether.

Protecting your no claim bonus

Once you ve built up more than three years no claim bonus, you can protect it. This means you pay an extra fee to the insurance company and in return, your no claim bonus will be safe-guarded, even if you make an at-fault claim.

Insurers vary in their rules for protected no claims bonuses. Some will allow you, for example, two claims in five years, but it could be a little as two claims in three years. Check the rules with your own insurer.

Remember that a protected no claims discount won t guarantee that your annual premium won t increase, only that the discount on your annual premium is protected.

For example, your insurance costs 1,000 in the first year but is reduced to 400 after applying a 60% protected no claims discount. You make an at fault claim that year. The following year, your annual premium may rise to 1,100 owing to normal cost rises, but your 60% discount is protected following your claim, and so your premium for that year is 440.

Normally, the NCB would drop back two steps (e.g. to 40%) after a claim, which means that your premium in the second year would have been 660 without the protected NCB.

Is it worth paying to protect your no claims bonus?

The payment for protecting your no claim bonus is usually less than the discount you d lose if your NCB stepped-back by two years, which makes it worth having, but do your own calculations to be sure. If you have a run of several years without making a claim, but pay for protected no claims bonus, the saving diminishes a little, but the sums are still likely to add up in favour of having it.

Buying your first insurance? Or looking to change your insurer?


Texarkana Gazette, Texarkana Breaking News, named driver no claims bonus.#Named #driver #no #claims #bonus


Named driver no claims bonus

Named driver no claims bonus Named driver no claims bonus

Local

Sports

Arkansas & Texas

Opinion

Nation & World

Religion

Judge rules suit in jail death can go forward

Named driver no claims bonus

Harp, Hart, Williams look forward

Named driver no claims bonus

SALUTING VETERANS: Residents honor soldiers past and present at annual parade

Named driver no claims bonus

Disneyland shuts cooling towers after Legionnaires cases

Named driver no claims bonus

Highlights

Named driver no claims bonus Named driver no claims bonus Named driver no claims bonus Named driver no claims bonus

Latest

A passion for fashion

Tigers maul Hogs: Guice, Chark lead LSU past Arkansas, 33-10

A M trounces New Mexico, 55-14

Bills brace for steady Brees as Saints come marching in

Rams return home to face Texans as true playoff contenders

Same old, same old: Cowboys Morris ready to step up

Miami faces Panthers top-rated defense

Love, Korver lead Cavaliers past Mavs

Etienne leads No. 4 Clemson past Florida State, 31-14

Big 12/SEC Football Summaries

Fouke girls cruise past Waldron, 67-39

Sportstats

Johnson, No. 10 Auburn knock off Georgia, 40-17

Oklahoma State rallies to win

Texas closer to bowl eligibility with 42-27 win over Kansas

Special Sections

Named driver no claims bonus

Local

Named driver no claims bonus

Judge rules suit in jail death can go forward

Named driver no claims bonus

Harp, Hart, Williams look forward

Named driver no claims bonus

SALUTING VETERANS: Residents honor soldiers past and present at annual parade

Sports

Named driver no claims bonus

Tigers maul Hogs: Guice, Chark lead LSU past Arkansas, 33-10

Named driver no claims bonus

A M trounces New Mexico, 55-14

Named driver no claims bonus

Bills brace for steady Brees as Saints come marching in

Arkansas & Texas

Named driver no claims bonus

A passion for fashion

Named driver no claims bonus

First trial in Texas biker fight case ends in mistrial

Named driver no claims bonus

Church shooting victims honored

Opinion

Named driver no claims bonus

People and Opportunities: The American Dream still alive and well in Nashville, Ark.

Named driver no claims bonus

Frugal can still be Fun

Named driver no claims bonus

2017 Discovery ushers in new era of luxury SUV ease

Named driver no claims bonus

At the top of their game

Named driver no claims bonus

Exhibit celebrates The Third Day

Named driver no claims bonus

Local artists in Young Arkansas Artists show

National

Named driver no claims bonus

A proposal for a different kind of prototype in San Diego: a binational border park

Named driver no claims bonus

Mom: How do I spend the rest of my life without my daughter?

Named driver no claims bonus

Disneyland shuts cooling towers after Legionnaires cases

Named driver no claims bonus

Copyright, Privacy Policy, Terms Conditions – Copyright 2015, Texarkana Gazette, Inc. All rights reserved. This document may not be reprinted without the express written permission of Texarkana Gazette, Inc.


Here is what happens when a driver is excluded from an auto policy, named driver


‘Excluded’ really means you’re excluded. No, seriously.

Named driver no claims Named driver no claims Named driver no claims Named driver no claims

No one likes to feel excluded, but if it’s a car insurance company that’s singling you out for an exclusion, you’d better listen.

What is a ‘named driver exclusion’?

Some insurance policies come with a named driver exclusion. It states that one or more individuals in your household may not operate the insured vehicle. If an excluded individual drives the car and gets into an accident, the insurance company doesn’t have to pay for the damage.

Car insurance typically operates under a principle of “permissive use,” explains John Montevideo, past president of the Consumer Attorneys of California. If you loan your car to someone and he or she has an accident, that driver typically is covered as a permissive user under your policy.

If the driver has been explicitly excluded on your policy, however, the concept of permissive use goes out the window, as do the insurer’s traditional responsibilities to defend and indemnify. Damage to your vehicle won’t be covered by the insurer, and both the policyholder and the driver can be held personally liable for any damages caused to others in the crash.

Exclusions typically aren’t arbitrary. They’re meant to make sure that a high-risk driver in your household won’t get behind the wheel.

“It could be somebody that perhaps has a suspended license, or a DUI, or a bad driving record,” says Penny Gusner, consumer analyst for Insure.com. “Excluding such drivers minimizes risk for the insurance company.”

Exclude a driver and save

It’s not always the insurance company that inserts exclusions into your policy. Sometimes policyholders request exclusions to lower their premiums.

“Some exclusions are from insurance companies, or it could be you saying, ‘This person is not going to drive, and he’s pushing up my rates,'” says Gusner.

She points out that California has a good-driver discount, which can save you big money with the best auto insurance companies. Drivers who qualify for the good-driver discount get rates at least 20 percent lower than those who do not qualify for the discount.

A California law allows you to exclude drivers in your household who could cause you to lose that discount.

“In many states the discount is substantial, which is the reason the insured might request for an exclusion to apply,” says Chris Wukovits, manager of AAA New York Insurance Services.

Wukovits notes that not every state allows car insurance companies to write policies with such exclusions. They’re legal under the state laws of Arizona, California and Texas, he says, but are prohibited in New York.

Some states allow exclusions but impose limitations on their use. For example, Gusner says North Carolina doesn’t allow you to exclude your spouse. Contact your state department of insurance or insurance agent to determine what is permitted if you want to exclude someone from your auto policy.

No excuses

If your policy has exclusions, your insurance company won’t accept any excuses for allowing excluded persons to drive.

Perhaps no one would fault you for allowing your excluded spouse to drive you to the hospital if you were having a heart attack. However, if he or she got into accident on the way, the insurance company would be within its rights to refuse coverage. Excluded means excluded, period. There are no loopholes.

The good news is that an exclusion isn’t forever, but you’ll have to contact your insurance company and ask for it to be removed. Keep in mind that the insurer is under no obligation to comply with your request.

Once an exclusion is imposed, typically it remains in place until you and your insurance company mutually decide to take it off the policy, says Gusner. “Some drivers think it’s only until the end of the policy term, but that’s not usually the case.”

If the exclusion has been prompted by a black mark on someone s driving record, such as a DUI, you’ll likely have to wait until the offense drops off their DMV record before you can have the exclusion removed from the insurance policy.

There are steps that risky drivers can take to improve your driving record in order to reduce your insurance premiums.

Don’t skip the fine print

Typically, only high-risk drivers wind up excluded from policies. But that’s not always the case. Montevideo says he has seen a trend among small, low-cost insurers — which tend to offer monthly policies rather than six- or 12-month contracts — to simply exclude every member of a household other than the policyholder. These policies are sometimes referred to as “named-driver only” policies. It s a way to control claims costs.

He says there are extreme cases where children too young to drive are excluded from policies. “They’re basically saying, ‘We’re going to exclude even the dog, if we can find his name.’ It’s overkill, really.”

So even if you haven’t asked for a member of your household to be excluded, check with your insurance agent and read your policy carefully. The last thing you want is to find out too late that your child or spouse wasn’t supposed to be driving the car he or she just crashed.

Named driver no claims Named driver no claims Named driver no claims Named driver no claims


Adding a named driver on car insurance, MoneySuperMarket, named driver no claims.#Named #driver #no #claims


Adding a named driver on car insurance: all you need to know

Named driver no claims

by Kevin Pratt

Consumer affairs expert

Wednesday 12 Jul 2017

Save money on your car insurance

Originally published March 7th 2017

If your friend asks to borrow your car for the day, or you want your daughter to be able to drive your car, you need to make sure that appropriate insurance is in place. Here we answer your questions on additional, named drivers.

What is a named driver?

A named driver is a someone who is insured to drive a vehicle in which another person does most of the driving. When driving that vehicle, the named driver will have the same level of cover as the main driver.

Can I add another driver to my insurance policy?

Yes. You can normally add one or more drivers to your existing car insurance. If it’s a new policy, you can simply provide the details when you take out the cover.

What will the insurer need to know about the additional driver?

The insurer will typically want to know the name, age, marital status, address and occupation of any additional drivers. Plus, you will have to give information about any accidents or motoring convictions.

How much does it cost to add a driver to my policy?

If you are adding a driver to your existing insurance, you might have to pay a fee to amend the policy, which could be about £30. The effect on the premium depends largely on the risk profile of the additional driver. If you are a parent and want to add a young driver to your policy, the price could be high because younger motorists are statistically riskier than older drivers. On the other hand, if you have just passed your test and want to add your mother or father to your insurance as a named driver, you could earn a discount on your premium.

Is the additional driver different from the main driver?

Yes – and you should not confuse the two. Some people put the additional driver down as the main driver in order to reduce the insurance premium (usually a parent claiming to be the main driver on one of their children’s policies). This is a practice known as ‘fronting’, which is illegal and could lead to a criminal conviction. It could also invalidate your insurance and make it more difficult and more expensive for you to buy cover in the future.

What happens if the additional driver has an accident?

If the additional driver causes an accident in your car and you have to make claim, it will affect your no claims discount, even if you were nowhere near the vehicle at the time.

Can I add a driver onto my policy permanently?

You can normally add a driver for the duration of your policy. Alternatively, many insurers allow you to add a driver temporarily. The temporary period is usually about 90 days, though it does not have to be taken all at once.

Can my insurer refuse an additional driver?

Some insurers automatically refuse to cover learner or young motorists as additional drivers. If the person has a poor driving history, they might also be turned down. Some insurers will charge a high amount as a way to deter you from adding a driver they don’t want to insure.

Do I need to tell the driver that I have added their name to my policy?

Yes. You cannot add a driver to your policy without their permission. So, always ask first. This is another defence against ‘fronting’.

Should additional drivers inform their own insurers?

If the additional driver has their own policy, they should tell their insurer that they are covered to drive another vehicle as an additional driver.

Do I need to bother adding drivers to my policy if they already have their own insurance?

Some insurance policies cover the main policyholder to drive another vehicle with that vehicle owner’s permission. However, it is not always the case, and any cover is likely to be third party only, even if the main policy is comprehensive. You should not therefore assume that adequate insurance is in place.

Can I include additional drivers when I search for motor insurance quotes?

MoneySuperMarket’s comparison service allows you to name up to three additional drivers when you are looking for the best deal on your motor insurance. So the price you are quoted will reflect the actual scope of the insurance you’re looking for.

I’m a named driver on another car, can I drive it in other EU countries?

If you’re a ‘named’ driver on someone else’s policy, you can drive abroad, although you’ll most likely only have third party cover, so you might want to pay for more protection. Remember the main driver must do the majority of the driving, so if you drive the car more than them (say you cover more miles during the trip), any claim you have to make could be challenged.

Did you enjoy that? Why not share this article


Paternity fraud rampant in U, named driver no claims.#Named #driver #no #claims


Paternity fraud rampant in U.S.

bilked of child support unjustly

Named driver no claims

WASHINGTON More than three years ago, a Maine district court judge ruled that Geoffrey Fisher no longer had to pay child support for a child that wasn t his.

But that didn t stop the state from revoking Fisher s driver s license and coming after him for thousands of dollars it says he owes in back payments.

Last year, Maine sent Fisher, 35, a letter seeking $11,450 in child support, even though officials know that DNA tests proved he isn t the father of the child in question.

As the nation experiences an unprecedented increase in unwed motherhood, more men are finding themselves named as fathers, for purposes of child support, simply because of their ability to pay, say several recent studies.

It s called paternity fraud, and one state that examined the problem found as many as 30 percent of those paying child support were, indeed, not the biological fathers of the children being supported.

The most recent comprehensive study took place in New Hampshire under the auspices of the Commission on the Status of Men.

The commission found that even men who later were able to prove they were paying support for the children of other men were sometimes still forced by courts and state agencies to continue.

Paternity fraud is a growing concern for men and children everywhere, concluded the commission in a report completed in November. It can spawn considerable grief for the men who may or may not be emotionally attached to a child they later discover was fathered by another; and possibly unsettling for children who may discover the false nature of their paternity.

The New Hampshire commission took note of the case of Geoffrey Fisher.

Fisher had a brief relationship with a woman eight years ago and when she got pregnant and told him he was the father, he believed her. He began paying child support but eventually fell behind.

In the summer of 2001, the Maine Department of Health and Human Services took him to court because of delinquent payments. The court ordered him to pay up, and the state had his license suspended under the deadbeat dad law.

That fall the girl, then 3, was placed in foster care. When Fisher pushed for custody, the state ordered a paternity test, which proved he wasn t the father.

At that point, one branch of the human services department told him he could no longer see the girl because he wasn t the father, while another said he owed $10,000 and couldn t have a driver s license because he was the father.

Fisher thought the matter resolved when a judge ruled he no longer had to pay child support in January 2002.

But then last spring, the Maine attorney general s office claimed Fisher still owed support payments for the time from the child s birth until she reached 3 years old, when tests proved Fisher was not the father.

Paternity fraud is a growing problem for both men, who should have a higher level of confidence on the paternity of their children, and for the children who need a reliable history of both parents for the maintenance of their physical and emotional health, concluded the New Hampshire commission.

Carnell Smith, a paternity fraud expert, says that 30 percent of the cases he sampled proved negative.

Like New Hampshire, California has also established a commission to explore the problem, based on reports that 14 percent are being misnamed as fathers. A report is expected later this year.

Florida is about to pass a new law that would end child support if a man proves he s not the father. Like most states, Florida currently requires that child support once legally established continue until the child s 18th birthday, regardless of who the real biological father is. Eleven states have changed similar laws since 1994.

A new state law took effect in Colorado this year that permits men, for the first time, to challenge his paternity of alleged offspring at least during the proceedings of a divorce, separation or child-support action. However, once a final order is entered, the new law says, the man is barred from presenting evidence of non-paternity.

But there is also a problem with the way some DNA tests are conducted and analyzed, say experts.

For instance, one physician reported that two unrelated men one black, the other white both tested with a probability of paternity at 99 percent for the same child.

Despite testing facility claims of a 99 percent accuracy rate, all men are at risk, whether it s through a wrong paternity judgment or paternity fraud, says Darrin Bush, developer of PaternityTestFlaw.com. There is a chance that a man can be determined to be the father of a child even if he never had relations with the mother. The deck appears to be stacked against men.

If you would like to sound off on this issue, participate in today s WND Poll.


No Longer Available, named driver no claims.#Named #driver #no #claims


named driver no claims

Named driver no claims

The content you’re looking for is no longer available.

Named driver no claims

Named driver no claims

Named driver no claims

Named driver no claims

Named driver no claims

Latest Video

Slideshow Central

Named driver no claims

Named driver no claims

Named driver no claims

Named driver no claims

Named driver no claims

Named driver no claims

Named driver no claims

Named driver no claims

Named driver no claims

Hearst Television participates in various affiliate marketing programs, which means we may get paid commissions on purchases made through our links to retailer sites.


How does no claims bonus work, MoneySuperMarket, no claims bonus for named drivers.#No #claims #bonus


How does no claims bonus work?

No claims bonus for named drivers

by Les Roberts

Car insurance expert

Tuesday 27 Jun 2017

Save money on your car insurance

Originally published April 1st 2016

Of all the ways to cut the cost of car insurance, accumulating several years’ no claims bonus (NCB) is arguably the most effective.

So if you’ve built up five or more years of claims-free motoring, you should be able to bag yourself a decent discount on the cost of cover.

As simple as this sounds in theory, in practice it can be a lot more complicated – each insurer plays by its own rules, which can cause confusion and distress if you have to make a claim or get confirmation of proof.

What is no claims bonus (NCB)?

For every year you drive without making a claim on your car insurance your insurer will give you one year’s no claims bonus (NCB) that will give you a discount on the cost of cover at renewal.

These discounts are accumulated each year – the more years you drive without making a claim, the greater the reduction in the cost of your car insurance.

Counting the cost of making a claim

This issue of NCB deductions – when the value of an NCB is slashed – came to our attention when a concerned customer contacted us via the comments section of our motoring blog.

She’d seen her eight year-NCB cut to just three after making a claim – a much bigger drop than she was expecting.

The customer wrote: “I am insured with Churchill, I have 8 years no claims. Unfortunately, I had an accident and Churchill informed me I would lose 2 years no claims and added that because they only consider 5 years they will be leaving me with 3 years no claims bonus.

“Surely this is wrong because when my renewal is up and I search elsewhere there ARE other insurance companies who consider 9+ years. Does anybody have any advice regarding this?

How many years’ NCB should be deducted?

If you make a claim on your car insurance, the industry norm is to deduct two years’ worth of NCB.

We contacted Churchill to check its position and whether the customer would, in effect, lose five years’ NCB following her claim.

A spokesperson said: “Churchill offers an 80% discount as an introductory offer for new customers who have eight years or more NCB, and we continue to reward up to nine years’ NCB for existing customers who remain claim-free.

However, if a customer makes a claim and they have over five years’ NCB this will be reduced to three years’ NCB after a first claim.

Using this MoneySuperMarket tool, you can find out how the leading car insurance providers approach the subject.

How many no-claims discount years will my new insurer honour?

Work out how many of the years you’ve built up will be recognised

Pick your insurer

Sorry! Please pick an insurer.

Maximum number of

With most insurers, the size of discount you can achieve increases until you have built up five NCD years, at which point the maximum discount percentage is achieved. Despite this, some companies continue to recognise if you go further years without making a claim – but they don’t increase the size of your discount (or at least not by much).

However, it can still be helpful. If your insurance company recognises up to, say, nine years of claims-free driving and you have an accident, you might lose two years and drop back to seven. As that’s still higher than five, making a claim would not jeopardise your discount.

Other companies will always drop you back to three years after an accident, regardless of your number of years claims-free.

Maximum No Claims

The amount of discount earned increases with each year of claim-free driving.

So after one year you might get 30%, with the percentage increasing each year until you get 70% NCD after five years.

Most firms offer a maximum NCD of 70%, although some offer 75% or 80%.

Does it have an

Accelerated Bonus Scheme?

Some insurance companies offer drivers with no NCD an accelerated bonus scheme, which awards a year’s NCD after 10 months claims-free driving.

After 10 months, you can either renew with the same firm, or move to another firm with the one-year bonus intact.

Save money on your car insurance

Car insurance is a hefty expense, but there’s a good chance you can save money by shopping around rather than staying with the same firm at renewal. Loyalty doesn’t pay!

Get a car insurance quote

Understand your no claims discount

Standard practice

This seemed excessive, so we got in touch with the Association of British Insurer (ABI), to find out if there is an industry standard when it comes to the allocation of NCB.

It turns out there isn’t, and it’s completely at the discretion of each insurer. Stephen Sobey from the ABI said: “The no claims bonus is a tool used differently by each insurer, there is no standard formula across the industry.

So we did some shopping around of our own, to find out how different insurer measure up against each other when it comes to deducting NCB, specifically in the case of our customer who had accumulated eight years’ NCB before making a claim.

The results were eye-opening to say the least…

How a claim affects your NCB

Swinton was not able to answer our query as it said there were too many variables to be able to provide this level of detail.

Esure and Sheila’s Wheels don’t disclose their specific NCB scales while AA Insurance Services simply state that in the event of a claim : “Your No Claim Bonus will be reduced at renewal in accordance with the insurer’s ‘step back’ scale at the time of renewal (usually to the equivalent of 0, 1 or 2 years) subject to any No Claim Bonus Protection condition that may apply to this insurance.”

We also contacted Carrot, a telematics insurer, to see what its position was and were told this wasn’t really relevant to the average telematics customer.

This type of cover is aimed at younger drivers and once they have five years’ driving under their belt, it’s probably more cost-effective to move on to a traditional insurance policy. This is something I took a closer look at in the video below and in my article Putting telematics to the test.

So, how many years’ NCB should be deducted?

In short, although it’s standard practice to deduct two years’ NCB after a claim, if you’ve accumulated over five years’ NCB in most cases this will be cut back to just three following a claim.

Just three of the insurers we contacted had a different policy – Allianz honour the two years no matter how many years’ you have accumulated, so our customer would have had six years’ NCB at renewal, while Swiftcover has a sliding scale which means your NCB will be cut back to four years if you’ve accumulated six or more years’ NCB.

LV also puts customers with nine years’ NCB back to four should they make a claim.

Admiral also included an interesting caveat in its terms and conditions, where it stated: “This is a No Claims Bonus and not a no blame bonus. If a claim occurs which is not your fault and we have to make a payment, your No Claims Bonus will be reduced unless we can get back all that we paid from those responsible.”

So even if you make a claim for an accident that wasn’t your fault you’ll get your NCB cut unless a settlement can be reached with the guilty party’s insurers.

All of which throws the importance of NCB protection into sharper focus.

Is it worth protecting your NCB?

The common consensus is that protecting your NCB is only worthwhile up to a certain point and that, the longer you go with NCB protection but without making a claim, the less cost-effective it becomes. This is something I cover in more detail in my article Should you protect your no claims discount?

However, this works on the assumption that insurers will cut your NCB by just two years should you make a claim. But these latest findings show this is clearly not the case as, in most instances, you’ll be knocked back to just three years’ discount, regardless of the number of years of claim-free motoring you’ve accrued – and most insurers don’t apply the maximum discount until you have at least five years’ NCB.

How long is proof of no claims valid for?

Your proof of NCB is usually only valid for two years – so if you’re off the road for any reason or don’t have your own policy for more than two years, you’ll have to start from scratch the next time you take out cover.

Kevin Pratt, insurance expert at MoneySuperMarket, said: “It’s often assumed insurers will deduct two years’ worth of NCB in the event of a claim, but it’s not that straightforward. The system operated by most insurers could have serious cost implications for motorists who have to make a claim.

“This means paying for NCB protection is an option customers should consider when shopping around for cover.

“It’s also important to remember that your NCB is portable, so you can still shop around to find the best insurance deal without having to worry that you might jeopardise your discount.”

Did you enjoy that? Why not share this article


No claims discount explained, no claims bonus for named drivers.#No #claims #bonus #for #named #drivers


No claims discount explained

No claims bonus for named drivers

by Kevin Pratt

Consumer affairs expert

Thursday 28 May 2015

Save money on your car insurance

The no-claims discount you get on your car insurance is a reward for safe driving – and can cut the cost of your car insurance by as much as 75% with most insurers. So it’s good to know that you can take your discount with you when you switch insurers.

How many no-claims discount years will my new insurer honour?

Work out how many of the years you’ve built up will be recognised

Pick your insurer

Sorry! Please pick an insurer.

Maximum number of

With most insurers, the size of discount you can achieve increases until you have built up five NCD years, at which point the maximum discount percentage is achieved. Despite this, some companies continue to recognise if you go further years without making a claim – but they don’t increase the size of your discount (or at least not by much).

However, it can still be helpful. If your insurance company recognises up to, say, nine years of claims-free driving and you have an accident, you might lose two years and drop back to seven. As that’s still higher than five, making a claim would not jeopardise your discount.

Other companies will always drop you back to three years after an accident, regardless of your number of years claims-free.

Maximum No Claims

The amount of discount earned increases with each year of claim-free driving.

So after one year you might get 30%, with the percentage increasing each year until you get 70% NCD after five years.

Most firms offer a maximum NCD of 70%, although some offer 75% or 80%.

Does it have an

Accelerated Bonus Scheme?

Some insurance companies offer drivers with no NCD an accelerated bonus scheme, which awards a year’s NCD after 10 months claims-free driving.

After 10 months, you can either renew with the same firm, or move to another firm with the one-year bonus intact.

Save money on your car insurance

Car insurance is a hefty expense, but there’s a good chance you can save money by shopping around rather than staying with the same firm at renewal. Loyalty doesn’t pay!

Get a car insurance quote

Understand your no claims discount

Here’s how it works. Most insurers offer a premium discount for every year without a claim, usually up to a maximum of five years. For example, you might earn a 30% discount on next year’s premium, if you do not make a claim in the previous year. Drivers who can boast five consecutive claim-free years can expect a discount of as much as 75% – or even more in some cases. The size of the discount, sometimes called a bonus, varies from insurer to insurer. Companies also calculate the discount in different ways. A number of firms even allow the discount to build up over 10 years or offer an ‘accelerated’ discount or bonus, where the discount applies after 10 months instead of 12.

Making a claim

It’s worth finding out what would happen to your discount if you put in a claim as you won’t necessarily forfeit the full amount. For example, if you have built up a discount over five years and make a claim in year six, you might lose only two years of discount. So, when you come to renew your car insurance, you would benefit from a three-year bonus. Remember that your insurance premium can still go up at renewal even if you don’t make any claims. That’s because the driver’s claims history is only one element in the premium calculation. Insurers also take into account factors such as your address and mileage, when they quote for cover. That’s why it’s always important to shop around when you renew, to make sure you’re getting the most competitive price for the cover you want.

Discount portability

If this has happened to you, or you have any questions about no claims discounts, drop us a line in the box below.

Named drivers

Did you enjoy that? Why not share this article


How to get proof of no claims discount, MoneySupermarket, no claims discount rules.#No #claims #discount


How to get proof of your no claims discount

No claims discount rules

by Mark Hooson

Online and tech expert

Tuesday 11 Jul 2017

Save money on your car insurance

Orignally published March 14th 2016

When switching insurers you’ll need to provide your new insurer with proof you’ve built up as many years worth of no claims discount as you say you have – and it’s not always as straightforward as you might think.

So here’s how to get proof of your no claims discount.

What is no claims discount (NCD)?

For every year you drive without making a claim on your car insurance your insurer will give you one year’s no claims discount (NCD) that will give you a reduction on the price of your policy.

Also known as no claims bonus (NCB), these discounts are accumulated each year – the more years you drive without making a claim, the greater the reduction in the cost of your car insurance.

A word of warning though, both the discount offered and the maximum number of years’ worth of NCD you can accrue varies from insurer to insurer, so be aware of this when switching.

How long is proof of no claims valid for?

Proof of no claims is usually only valid for two years, which means if you’re off the road for any reason or don’t have your own policy for more than two years, you’ll be back to zero NCD the next time you take out cover.

How to get proof of no claims discount (NCD)

At MoneySuperMarket, we recommend drivers not to renew automatically every year with the same firm but to check whether it’s worth switching provider. This is usually the case, as insurers tend to reserve their best prices for new customers rather than existing ones.

As and when you do make the switch your new insurer to ask for proof of no claims discount. The problem is, you’ll most likely have to get that proof from your last insurer, and each company handles this process differently.

One company might include your proof of no claims in your renewal or cancellation letter, another might send a specific proof of no claims discount letter, while a third company might only send proof if you request it.

We rang around a number of insurers to get find out how you’re meant to get hold of your proof of NCD and whether any of them send the proof out automatically. Here’s what they had to say.

What to do when you have your proof of NCD

Once you’ve got your proof of no claims discount in hand – whether that’s a letter, in an email or a PDF – there are stringent rules about getting it to your new insurer which, if broken, can leave you out of pocket or worse, uninsured.

To make sure you’re not caught out, here’s a look at some of the things to watch out for when you change car insurance providers and have to provide proof of no claims discount.

  1. Your annual renewal letter may serve as proof of no claims discount, so hang on to it. Saga, Santander and HSBC, to name but a few, say their renewal letters should suffice as proof.
  2. Not all insurers will automatically send you proof of no claims discount. Check our table to see if yours does, and what you need to do if they don’t.
  3. There is usually a time limit on getting your proof of no claims discount to the new insurer. This tends to range from around 7 to 21 days.
  4. If you don’t provide proof of no claims within the time limit, your new policy could be cancelled, leaving you uninsured, or your premiums could be increased as if you didn’t have a no claims discount.
  5. Some insurers will not accept a photocopy of your proof of no claims discount letter, and will ask that you send the original. If this is the case, be sure to make a photocopy for yourself.
  6. Most insurers only recognise no claims discount up to a certain point. For example, the greatest discount HSBC and M S will recognise is nine years. Insurers also have different maximum percentages, usually 70% or 75%.
  7. Your new insurer may contact your old insurer to get the proof of no claims discount itself, but it will tell you if it intends to do so.
  8. It’s also worth a follow-up call if you’ve not heard anything a week after you’ve sent the proof of no claims discount. The insurer should send you some kind of letter or email to confirm receipt, but don’t assume they’ve received it because you could be driving around uninsured.

How an NCD mishap can leave you without insurance

As a real-life example of how easy it is to get tripped up by all of this, MoneySuperMarket employee Hannah Jones found herself unwittingly driving around without any car insurance after sending off proof of her no claims discount.

Hannah switched to Sheila’s Wheels and was told to send proof of no claims discount within 14 days, which she did.

To Hannah’s surprise, she received a letter from Sheila’s Wheels saying the policy had been cancelled because they hadn’t received the proof. This was two weeks after it was sent, and the letter was backdated by a week.

Making matters worse, when Hannah called Sheila’s Wheels to explain it had already been sent, she was told that they would contact her previous insurer and that they didn’t really need the paperwork!

Though Hannah was able to explains matters and correct the situation, at first she faced a cancellation fee and higher premiums if she still wanted insurance with the company.

Clearly, even if you receive and send your proof of no claims discount, things could still go wrong, so it’s worth checking if you’ve heard nothing back.

And if you’ve built up a number of years’ worth of no claims discount it’s worth considering protecting it so you can still take advantage of the annual reduction even if you’ve made a claim.

What is no claims discount (NCD) protection?

NCD protection allows you to have a set number of ‘at fault’ accidents each year without affecting the discount. This means your NCD remains intact even if your insurer can’t claim their costs back.

And while this won’t necessarily stop the cost of cover increasing after a claim – insurers use your claims history to calculate premiums, with the discount factored in at the end – it should still mean the annual cost is lower than if you’d not protected your NCD.

You can take your car insurance no claims discount with you when you switch insurers. The discount might not be the same, but the new firm should honour your claims history. You can also transfer your NCD to another vehicle, perhaps if you buy a new car.

Using this MoneySuperMarket tool, you can find out how the leading car insurance providers approach the subject.

How many no-claims discount years will my new insurer honour?

Work out how many of the years you’ve built up will be recognised


Prime Label Consultants, no claims discount rules.#No #claims #discount #rules


Breaking News

No claims discount rules

Services

Nutrition Label Reform (NLR)

Nutrition Menu Labeling

Label Prototype Construction

No claims discount rules

Training

FDA Label Basics

USDA Label Basics

Label Graphics Trends

USDA Generic Labeling

Labeling Marketing Claims

Individual Product Coaching

Label Training Manuals

No claims discount rules

Conference

Expanded 2 day Agenda

Nutrition Label Reform

Keynotes by FDA, USDA, FTC

Four Tracks for FDA, USDA, Marketing and Experts

Add-on Labeling Training

Grand Hyatt, Washington DC

No claims discount rules

Software

FDA, USDA, Health Canada

NLR Conversion Assistance

Nutrition Serving Wizards

Sketch Spec Sheet Builder

USDA Labeling Features

CN Labeling ADA Exchange

Compliance Smart Checks

Who Trusts Our Services.

Retailers

Nutrition Facts Label Copy

FDA USDA Label Review

Brands

Nutrition Label Reform

Label Ad Copy Review

Leading Edge Claims

Manufacturers

Nutrition Facts Panels

Label Website Review

Regulators

USDA, FDA, Commerce

Petitions В Comments

Food Label Conference

No claims discount rules

No claims discount rules

No claims discount rules

No claims discount rules

What Our Customers Say

It is essential for efficient creation and organization of label approvals.

Honestly, I don’t know what I would do without it!

The Deluxe version also provides assistance with Canadian regulations.В В

Labeling Compliance Manager, QualityВ

Project Leader, Regulatory Services

Director of Communications Marketing

[Prime Label s Consultants] are of great help and guidance for us, especially in understanding the new USDA new generic label approval guidelines. Having our product labels go through their PLC Compliance Review Report has given us assurance and regulatory compliance supporting documentation to demonstrate that our products are still in line with USDA guidelines and requirements.В

Director of Food and Safety

[Prime Label] provided useful and insightful recommendations to improve and strengthen our Labeling Process. Using the audit results, we were able to pin-point our weaknesses so we knew exactly where to focus our efforts. As a result, we have built a stronger labeling department as well as improved the accuracy of our labels.

Eddy Packing Company, Inc

While many other resources can be difficult to sort through or decipher at times, the Essential Guide does a really great job of summarizing the most important labeling rules and subject matter. Well-organized, user-friendly, and with references back to the CFR, it s become my favorite go-to guide. В В

Labeling Compliance Specifications

John Morrell Food Group

As a veteran customer with over 20 years experience working with Prime Label Consultants, they are always finding new and innovative ways to support the food industry with regulatory assistance. [With Premium Access] it is so easy to just pick up the phone or email [Prime Label] to locate that answer your customer is demanding.

Manager of Printed Packaging Regulatory AffairsВ

Smithfield Farmland Corp.

There is no other program like it on the market. EZ Form provides the ability to respond [to compliance requests] quickly, effectively, and in a format that is easily recognized by government officials. In as little as 30 minutes, you can have a new user operating the program. It is intuitive, easy to use, provides regulatory guidance and a library of tens of thousands of look-up terms, policies, and directives.

Manager of Printed Packaging Regulatory AffairsВ