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-   -   ARTICLE: No Claim Bonus - How to save on your insurance premiums! (https://www.team-bhp.com/forum/buying-car/18602-article-no-claim-bonus-how-save-your-insurance-premiums-22.html)

I recently sold my existing Santro for an upgrade to an i20.
It was today that I realized that a thing called "NCB" exists stupid::Frustrati.
I called up the dealership where I sold my car and asked him if I can get the NCB so that I can get a rebate in the insurance premium for the new car and the dealer tells me that, I should have sold the car without the insurance, in which case I would be getting the benefits of the NCB. Now that my car is sold to him and the money is transferred to my account, is there anyway I can get the NCB from the old insurance and utilize this for the premium for the new car ( the first year's premium) or do I need to wait for one more year till the renewal of the insurance.

Even now you can get a NCB certificate. For that you will have to initiate a insurance transfer process whcih is anyways required legally ( I guess).
I thought I had updated this thread but here is what happened with me:

After old car was sold the dealer transferred the RC book in new owners name. Using a copy of that and a letter from me, insurance was also transferred to the new owner. He might have paid the differential amount (50% NCB) proportionate to remaining period.
After this ICICI Lombard issued a NCB certificate which was submitted to BA.

The whole process took time (May - August end). Finally in Sept I got a refund cheque of an amount more than 50% (Refund of 26k. Premium I had paid was 41K). I am yet to followup with BA on how the refund % was more than NCB%.

Dear BHPians,

I have a small dent on the Indica Vista's front fender and the service guys have quoted Rs 4000/-. This was all due to an erring splendor bike whose pillion rider was carrying two huge luggage of cloths in the form of big pouches (clothes tied in a big cloth) and tried to overtake me from the left. The fender needs to be tinkered and repainted fully. Is it worth claiming insurance? The service personnel says the NCB will go if I claim the insurance. I also believe what is the guarantee that in near future I would not claim the insurance.

Please suggest.

If your NCB % is high (say 50%) what you will lose is 50%, 30%, 25%, 15% and 5% of NCB in 5 subsequent years in that order and not just 50% in the first year.
If you plan to replace with another costlier vehicle in coming years it would be wise not to claim NCB for the repaint.

If your NCB % is lower which it should be as its Vista (unless you had transferred NCB from older vehicle) , assuming no current NCB, you will lose 20%, 5%, 10%, 10% and 5% of NCB in that order over next 5 years.

Everything is assuming you wont have a accident later which I believe should be the basis of calculations unless you are planning your accidents beforehand.

thanks for the reply. I just got in touch with an insurance guy a couple of mins back. He advised me to the insurance company ( the one which insured my old car) and get a NCB certificate and produce it to them so that I would be eligible for the discount in the premium for the current policy. If I go ahead with this process, would it cause any effect to the person who would be buying my car from the dealership since the insurance also would be transferred.

Yes he will have to pay the 50% (assuming your NCB% was 50% when you bought the insurance) NCB amount prorated for remaining part of the term.

I would suggest just ask for a NCB certificate from your old cars insurer. Do not bring the insurance transfer process into picture. If your insurer can give that certificate it is sufficient.
ICICI Lombard and the dealer executives were insisting on the transfer and hence I had to do it.

Thanks for the very useful information in this post.
I was never aware of the provision for transferring NCB from old to new car.

Thanks to your post, I was able to transfer the NCB from my old M800 to my new WagonR and in the process I saved around 5.5K :)

This is the 4th year that my Swift has been insured through Maruti Insurance (which no longer exists) - this was a tie up between maruti & the insurance company (which still exists) & was a co-branded product.

Anyway, I had claims in the first year, but never after that. However, I have never received a NCB certificate though I did receive the no-claim discounts which ever year I haven't done claims. It never bothered me because I never shopped around with other insurance companies - which may change now.

So how do I get a NCB from the insurance company? Do I have to ask them for it? Do they send it by mail - how many days before the insurance expires will I get it?

You need to write to the customer care quoting your Insurance policy no asking for the NCB statement. The options of getting it are through e-mail/post/hand delivery.

One question though, why do you need the NCB certificate? If you are going for a new Insurer you can give the earlier Insurer and policy details to the new Insurer. They will verify if there has been any claims in the previous year but this verification will take place only when you go for any claim with the new Insurer.

Hope this helps.

How many days/weeks before the insurance expires can I do this?

Cant say whats the time period, never done that. Maybe you can enquire and let us know.

You dont need a certificate to buy insurnace from another insurer for the same car and you are renewing before a certain amount of time ( I guess 1 month) after the earlier has expired.
You current insurance policy document states the NCB and it is sufficient to renew insurance with other insurer for the same car although nobody even photocopies it as a proof. If you buy online most websites ask for NCB % - no questions asked.

Only if you want to transfer NCB from 1 car to another NCB certificate is required.

What is third party insurance? Is it the if a person bangs my car I can claim insurance from his insurance company as he is having a third party insurance? Is there something like this we can do?

No, A third party insurance policy is a policy under which the insurance company agrees to indemnify the insured person, if he is sued or held legally liable for injuries or damage done to a third party. The insured is one party, the insurance company is the second party, and the person you (the insured) injure who claims damages against you is the third party.

If a person bangs your car either you can claim the damage charges from the person or claim insurance from your Insurer.

But the current policy would be a year old - how would the new company know that I haven't had any claims in the 1 year since that policy was issued.