No Claims Discount
In Ireland, insurance companies offer a No Claims Discount (NCD) to reward motorists for safe driving. Some policyholders find the No Claims Discount confusing and are unsure how it applies to their car insurance policy. Understanding how a No Claims Bonus works can help Irish drivers save money and avoid confusion when renewing car insurance. Let’s look at some of the most common questions drivers ask.
What Is A No Claims Discount In Ireland?
No Claims Discount (NCD), also known as No Claims Bonus (NCB), is a discount that drivers get if they have not claimed on their car insurance in a certain number of years. This benefit is included in most insurance policies. The discount is offered to policyholders to motivate them to be more careful on the roads.
How To Apply Or Transfer Your No Claims Bonus
Your insurer will offer a discount on your annual car insurance for every year you hold the policy without making a claim. The more claim-free years you have, the larger your discount. Essentially, the discount is offered to drivers who are considered less of an insurance risk.
When Does A No Claims Discount Expire?
In Ireland, it is valid for two years after your insurance policy expires. However, this only applies if you have not been involved in an accident or submitted a claim.
Can I Apply My No Claims Bonus To My Spouse’s Car?
The short answer is no. You will have to accumulate a discount on each car. It is essential to disclose the main driver on both vehicles to the insurance provider. Each driver must earn their own No Claims Bonus. You cannot share or combine discounts between policies.
What Limitations Apply To The No Claims Discount?
For the maximum discount, you must build up to 5 to 6 years without making a claim. A majority of insurance companies will take five years driving consecutively without submitting a claim or being involved in an accident into consideration when calculating your discount. Please note you must hold an insurance policy in your own name.
Can I Transfer My No Claims Bonus To My New Car?
Yes, you can transfer your No Claims Bonus to a new insurer in Ireland. You’ll just need to provide your No Claims Certificate from your previous provider.
If I Switch Insurers, Can I Add My No Claims Discount To The New Policy?
Yes, you can transfer the No Claims Discount to the new insurance company. They will require a No Claims Certificate from the previous insurer. Terms and conditions may apply.
Protecting Your No Claims Discount (Optional Extra)
Most insurers will offer No Claims Bonus Protection. This will protect your discount in the event you need to make a claim or someone claims against you. This is an optional extra which can be added to your policy.
How Much Can You Save with a No Claims Bonus?
Criteria may vary; some insurance companies in Ireland may offer over 50% off your car insurance policy.
All information above applies to Irish motor insurance policies and may differ for commercial or international cover. Always check with your provider for exact terms. If you’re unsure how your No Claims Bonus affects your next renewal, talk to our regulated insurance team on 042 935 9090.
Compare Insurance Ireland is regulated by the Central Bank of Ireland and a member of Brokers Ireland. Always check your insurer’s No Claims Bonus terms before switching.