Car insurance is a mandatory aspect of owning and operating a vehicle. One of the perks that responsible and safe drivers can enjoy is the No Claim Bonus (NCB).
No claim bonus is a prize given to the policyholders by the insurers when they have a claim-free year. When the policyholders do not claim for a particular year or consecutive years when the policy is active, they become eligible for a 20-50% discount on the premium. NCB is basically a reward to the vehicle owner given by the insurer in order to motivate them to drive safely and responsibly.
But how do you check your No Claim Bonus and ensure you get the discount you deserve?
To check the no-claim bonus for your car insurance:
- Check the NCB slabs; you can identify the applicable NCB from there.
- When renewing your car insurance or new car insurance online, the insurer’s webpage mentions the applicable NCB.
- The insurance policy documents of your car or new car insurance also mention the NCB calculation.
It is important to know the NCB status because it leads to cost savings if you want to buy or renew your car insurance. Let us understand the steps to check the no-claim bonus.
Steps to check no claim bonus for car insurance
To check the no-claim bonus and to ensure you are benefiting from it, here are the steps:
- Contact your insurance provider: Request your insurance provider to issue a no-claim bonus certificate.
- Check policy documents: NCB can be verified after examining the documents, which include insurance documents and renewal notifications or by going to the insurer’s website or mobile apps.
- Verify NCB calculation: To calculate the NCB, you need to check the premium cost and the number of claim-free years. The starting range of NCB is 0% and can go up to 50% with each claim-free year. The higher the NCB, the higher the savings and benefits for the policyholder. If you file a claim, then the limit of NCB falls to zero but increases with each following claim-free year.
Furthermore, if you’re pondering the question of ‘how long you can drive a new car without insurance’, we strongly recommend obtaining new car insurance for your vehicle, as driving without insurance is against the law.
Disclaimer: The information provided in this blog is for educational and informational purposes only. It may contain outdated data and information regarding the relevant industry. It is advised to verify the relevance of the data and information before taking any major steps. ICICI Lombard is not liable for any inaccuracies or consequences resulting from the use of this outdated information.