pete1976

Just wanted to get some thoughts on whether it's worth paying to protect your no claims. I wasn't going to bother this time but then did in the end.

The way I see it, if you make a claim it's only the company you're with that will honour the extra no claims (as they're the ones who've been paid to protect it). So they can get away with hiking up your premium knowing that you can't really move companies because if you do, the new company won't honour the full no claims. So you finish up paying as much as you would had you not protected your no claims in the first place. And it aint cheap to protect it either!

Am I missing something here or am I misinformed??

pete1976

Surely someone must have a view on this! Moley? Tony?

Moley

iTrader: (9)

Bit of a grey area really.

If you do protect your NCB it will usually cost an extra 10-15%. If you do have a claim you will keep your bonus, but the insurer will still normally load the policy.

Now......if you do have a claim and your NCB isn't protected you will only loose 2 years from the maximum (which is 5 years). The difference between 3 years and 5 years is around 10-15%.

It really comes down to choice.

(Please note this is all 'in theory', different insurers work in different ways, but at least it gives you some idea.)

MTR

When I found myself in the situation you describe above, my policy was loaded AND my no claims bonus reduced. And I wasn't even sat in my car. It was a non fault claim.
Luckily before I had to pay my impending MASSIVELY increased renewal (it went up from £644 to £1732 when I should have gone from 60% NCB to 40% NCB) the claim was resolved.
My premium still went up to £850 afterwards, so almost a 33% increase.

The insurance advisor for my particular company said that by protecting my no claims it would lessen the increase, but NOT eliminate it, in the event of a claim.
They would load my policy to a figure they thought fit.
I suppose its understandable, although it seems very unfair.
He stated that if I caused £20,000 worth of damage, for example, they would probably want that money back. I think this was his personal viewpoint, not company viewpoint, but it seemed to be true in my case.
The damage to my car which caused my massive policy increase was
a buckled door skin.!!!!!

Cheers
MTR

s70rjw

iTrader: (2)

Protecting my NCB cost me £40 so yes. But each to their own

ukdave

usually your asked if youve made any claims in the last 3yrs or so anyway so regardless of your ncb thats bound to affect your premium anyway if youve claimed regardless of the ncb discount,i would say it isnt worth it(tho would make about a £100 difference for me to protect mine)