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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-31.html)

I got a call from Berkshire Insurance today in response to my inquiry on policybazaar.com. I am planning to buy a Safari Storme and would like to transfer the 35% NCB from my Maruti 800 (It has the lowest premium among all my cars) to it. Berkshire said that I will not be able to transfer the NCB and mentioned the classification of cars based on cubic capacity Modisan has spoken of. L&T insurance had called me yesterday - neither did they ask me the make of my present car and nor did I feel the need to bring it up. They said that I could transfer the NCB if I sold the car and got an NCB reserving letter issued from my current insurer - Royal Sundaram.

This puts me in a dilemma. I can understand why the insurance companies might want to classify the cars into slabs based on cubic capacity for the purpose of NCB transfer. They may be totally justified in attempting to prevent somebody from transferring his NCB across cars of such different IDVs. But the question is: Is there such a clause, or is Berkshire trying to hijack me? I wouldn't want to do something that renders the insurance void retroactively, if and when I claim and they use this clause against me.

Could somebody who is well versed in insurance laws please advise? Pointing me to instances of inter-class NCB transfers will also help.

I need one help
I have 50% NCB and want to claim insurance now. My policy is due to renew in June 2013.
I can pay the premium almost one month before insurance expires.

Scenario

I want to claim the insurance after renewing the policy before due date ie claim insurance before policy expires but renew it before claiming the insurance

Question
Will insurance company will charge me extra premium during claim/after claim in the above scenario or NCB will become 0 for next renewal in June 2014.
In my understanding the NCB has become 0 for June 2013 but I have already renewed it with 50% NCB

Kindly help

Your NCB will become 0 for the period June 2013-14, if you claim before renewal payment or else the NCB will become 0 for the next year.

If you really want to claim, just go ahead; anyway you'll lose your NCB in the coming year.

@aka_iitd
FYI the NCB is valid only when no claims during the full Insurance period of 12 months. If you think you can renew the Insurance, claim the NCB and the put in a claim before the end of Insurance period and get away with it you are wrong. Thats not a good practice. Paying the Insurance premium a month before the actual expiry doesnt entitle you to make claims. If you see the Insurance renewal clearly states the start of the renewal from the date of expiry of earlier period.
Two options:
1) Claim now and let go of the NCB during the next Insurance renewal.
2) Claim after the next Insurance year starts.

If you claim after renewal of the Insurance & using the existing 50% NCB, Insurance co will ask you for the payment of the NCB amount.

Thanks a lot for clarifying the same. Will claim in next insurance year

Hi folks, I need some suggestions regarding and NCB issue.

I had a NCB on a vehicle I sold four years ago. After making the sale the insurance company ie. Bajaj Allianz issued an NCB certificate valid for three years. I did not buy another vehicle during this period.

Now the three year period is over and i'm planning to buy another vehicle. Will my old certificate still be valid? Would Bajaj Allianz issue another certificate?

Please advise.

Thanks in advance.
Kodava

I bought an Ertiga in Dec 2012 and subsequently sold my Wagon r which had a NCB of 35%. The Ertiga is insured specifically with Bajaj Allianz as they were willing to transfer the NCB for the current year itself and refund the excess amount collected.
I obtained the NCB certifcate from HDFC (after i sold the Wagon r in jan 2013) and submitted it to Bajaj Allianz along with a request to transfer the NCB and refund of the excess amount. I did this in the first week of March and got the refund a couple of days back.
Though the process took more than a month it was hassle free and convenient especially since I was not willing to sell the wagon r before I got delivery of the new car.

Sorry my friend you missed the bus. The expired NCB letter will not be honoured by any Insurance companies. Try that with Bajaj, I am sure they will refute your request, they might offer you some discount for being an old customer. All you can do is start afresh and buy a new Insurance for the new vehicle.

Hi,
I recently bought a Used Honda City. The current insurance(zero dep from Bajaj Allianz) is valid until Sept'13.
My queries are as below:
1. What would be the procedure to transfer the insurance in my name. Do insurance companies charge something for this formality??
2. Can the NCB of existing owner be carried forward during next renewal.

Thanks in advance.

Regarding the transfer of Insurance in your name, before you do that pls ensure that the RC is transferred in your name. Once that is done a simple application to the Insurance co for the transfer of Insurance along with the old and new RC copies will help in the transfer. Most of the Insurance co do charge a very nominal fee for the transfer.
NCB always belongs to the owner of the car and does not go along with the car. If you have NCB from your previous car then you need to have a certificate for the same from the previous Insurance co and use it during the renewal of Insurance of your present car. Hope this helps.

You need to call them and they would send a surveyor at your place who would take the photographs of your car. You need to submit the new RC or the RTO transfer receipt in your name along with the transfer charges; generally around 200. You will also have to pay the NCB discount in the policy on pro-rata basis for the remaining time.

Thanks. I contacted the H.A.S.S through which the insurance was done by previous owner. They informed i have to pay approx Rs.1500/- for the insurance transfer. This includes transfer charges & NCB on pro-rata.

@ghodlur: I do have NCB from my previous car which i sold recently. I'll get the certificate from that Insurance company and probably i can use it during renewal (due in Sept'13). Thanks.

I had a running 50% NCB with TATA AIG but unfortunately my new Altis got rear ended by a character recently.
1) What NCB can I expect next year - if any ?
2) What NCB can I expect in coming years - does my counter start at 10% again and after how many years ?
3) If someone else hit me - how can I ensure that I dont loose my NCB but other gentle man's insurance pays for my repairs. I couldnt find a discusison in this regard.

1. Zero
2. The counter is reset and starts all over again for claim free years.
3. If the person agrees to pay for your repairs he needs to file a third party claim with his insurance company who would then pay for your damages.
Or he can directly pay your bill without using his insurance. Any way but such people are hard to find.

@ghodlur, other insurance mavens :). I need to transfer the 50% NCB on my Alto which I sold off to True Value back in April to my Forester. Currently, Forester is on Iffco Tokio with expiry in July-end but plan to move to a different company for renewal since my experience with Iffco when transfering the insurance to my name was less than stellar, to put it charitably.

Alto insurance was with ICICI Lombard. When I finally made time to visit their office in Indira Nagar, I was told that to get the NCB letter, I must pay off the NCB portion of my Alto's insurance (also expiring in July). To top this, I must pay this amount only at the Maruti dealer's showroom where I had bought the car, get the receipt and visit ICICI again. This does not seem right to me, even though the amount is not much. Is this the norm when getting an NCB letter?

Thanks