Not Found
Suggestion
- Experiment with various terms
- Experiment with various terms
- Experiment with various terms
Search Not Found
Try Searching
Not Sure
Assist Heading
13165151351351
Not Found
Suggestion
Search Not Found
Try Searching
Not Sure
Assist Heading
13165151351351
We're here to help you find the perfect insurance plan. our team will get in touch.
We respect your privacy. Your details are safe with us.
Our team will contact you shortly to provide personalized assistance with your insurance plan.
You can also reach out to us on 1800 266 1112
Meet Rohan. He is an accountant by profession and a cautious driver by nature. He understands the importance of protecting his car and opts for a comprehensive car insurance policy. Throughout the policy year, he drives carefully, avoiding making any claims. The result? When he renews his policy next year, he is rewarded with a No Claim Bonus (NCB). But he has some questions. What is NCB in car insurance? How to check NCB in car insurance?
Do you have similar questions? Read on to know more.
No claim bonus in car insurance is an incentive insurance companies offer to policyholders who maintain a claim-free record. It translates to a discount on the premium amount you pay for your car insurance policy renewal. The discount percentage increases with the number of consecutive claim-free years. In simpler terms, the safer you drive and the fewer claims you make, the higher the discount you receive on your car insurance renewal premium.
Here are some benefits of NCB:
- Reduced Car Insurance Premiums
A higher NCB reduces your car insurance renewal premium and makes it more affordable to maintain comprehensive coverage.
- Encourages Safe Driving
The NCB system incentivises safe driving habits, as policyholders are more cautious about avoiding accidents and claims to preserve their NCB discount.
- Increased Coverage Flexibility
You can use the savings from a high NCB to upgrade your car insurance policy or opt for additional coverage to enhance your protection.
The NCB in car insurance depends on the number of consecutive claim-free years. Here’s a table outlining the NCB discount offered for claim-free years:
Number of Consecutive Claim-Free Years |
NCB Discount on Premium |
One year |
20% |
Two consecutive years |
25% |
Three consecutive years |
35% |
Four consecutive years |
45% |
Five or more consecutive years |
50% (maximum discount) |
Now that we have answered ‘What is NCB in insurance?’ let’s examine how to calculate it.
- Identify the number of claim-free years.
This refers to the number of policy years you haven’t filed claims.
- Refer to the NCB discount table.
Match your claim-free years to the corresponding discount percentage in the table above, mentioning the NCB in insurance.
- Apply the discount to your premium amount.
To determine the discount, multiply the NCB discount you obtained in Step 2 by your insurance premium (applicable on Own Damage (OD) premium, excluding third-party liability premium).
For example, let’s say your car insurance with no claim bonus clause has a premium of ₹20,000, and you’ve maintained a claim-free record for three consecutive years. As per the table, the NCB in insurance for three claim-free years is 35%.
So, what’s the amount of no claim bonus in car insurance? Here’s the calculation:
NCB Discount = 35/100 * ₹20,000 = ₹7,000
Therefore, your three claim-free years make you eligible for a discount of ₹7,000 as a no claim bonus in insurance premium renewal.
You can check your NCB by referring to your previous car insurance policy documents or contacting your insurance company.
What is no claim bonus in car insurance? Your reward that saves your hard-earned money! But you should look out for the following to avoid losing your NCB in car insurance. These include:
- Filing a claim during your policy period. Even a single claim filed will reset your NCB discount to zero. . Not renewing your car insurance with no claim bonus clause within 90 days of expiration. A lapse in coverage exceeding 90 days will cancel your accumulated NCB.
Your NCB isn’t tied to your vehicle but to you as the policyholder. As such, it offers flexibility when switching cars or insurers.
- To transfer NCB to a new car, ensure it’s in the same vehicle class and inform your insurer, providing the necessary documentation.
- When changing insurers, inform the new company of your NCB entitlement, possibly needing to provide previous policy documents or NCB certificates for verification.
Some insurance companies offer an add-on cover called NCB protection in car insurance. This add-on allows you to retain your NCB even if you file a claim up to a pre-defined limit during your policy period. However, this benefit comes at an additional premium cost.
So, by maintaining a claim-free record, you can reduce your car insurance renewal premiums and enjoy the benefits of a safe driving record. Now that you have answers to ‘What is NCB in car insurance’ and how to check NCB in car insurance, you can get a car insurance with no claim bonus with Future Generali. Future Generali offers comprehensive car insurance policies with additional features to ensure maximum coverage and peace of mind for policyholders.
Step-by-Step Guide to Claiming Car Insurance After an Accident
Car accidents happen every day. India witnessed a rise in road accidents in 2022, with over 460,000 mishaps resulting in the loss of 168,491 lives—an all-time high....
Read MoreWhat is IDV in Car Insurance: Meaning and Calculation Explained
When you secure car insurance, you often come across the term ‘Insured Declared Value’ (IDV). It’s an essential factor that directly influences your insurance premium and the...
Read MoreStep-by-Step Guide on How to Calculate Car Insurance Premiums Online
Owning a car is a necessity for many. Suresh, who just got his job and moved to a new city, recently purchased a sedan. As a responsible...
Read MoreElectric Vehicle Insurance: Costs, Coverage and Benefits
Electric vehicles (EVs) are rapidly gaining traction in India, with a significant rise in their sales over recent years. As more consumers opt for electric cars, understanding...
Read MoreDoes Car Insurance Cover Airbag Replacement After an Accident?
India has implemented stringent safety regulations for passenger vehicles. As of October 1, 2023, all passenger vehicles must have six airbags and rear seat belt alarms, a...
Read MoreMonsoon Car Care Tips: Top 10 Car Maintenance Tips for the Monsoon Season
The Indian monsoon, while a welcome respite from the scorching summer heat, brings its own set of challenges, especially for car owners. Waterlogged roads, reduced visibility, and...
Read MoreHow Zero Depreciation Car Insurance Works
Car insurance is an essential purchase for any vehicle owner. To help his wife Priya understand the nuances of car ownership, Rohit entrusts her with the task...
Read MoreAll You Need To Know About Zero Depreciation Car Insurance
If we talk about car insurance, there are numerous options available to policyholders. One of the most beneficial and increasingly popular types of motor insurance is zero...
Read MoreHow to be a greener driver - and save money
India has some of the most polluted cities in the world and one major contributor to its air pollution problem is toxic vehicle exhaust fumes. The staggering...
Read More5 Questions to Ask Before Buying Car Insurance
Since childhood, we have certain dreams and we wish for them to come true as we grow up. One of the most common dreams which we probably...
Read MoreTypes of Driving Licence & Categories in India | Future Generali
A driver’s licence is an official document proving you can legally drive. However, there are different types of driving licences in India that are specific to a...
Read MoreReturn to Invoice cover in Car Insurance: A complete guide
Owning an impressive car is highly satisfactory, but mishaps like accidents or thievery can quickly take this satisfaction out of your life. Is there any solution, then?...
Read MoreHow to Renew Your Driving Licence in India: A Step-by-Step Guide
Cruising on your two-wheeler or SUV has its own thrill, but getting stopped by a traffic police officer without a valid driving licence can quickly become a...
Read MoreHow to Claim Under Third Party Car Insurance
Having car insurance is significant for you and your family's safety. The right car insurance protects you financially when your car gets damaged in any unforeseen event....
Read MoreHow to Download Car Insurance Policy Online
The car insurance policy document is a legally binding agreement between the policyholder and the insurance company. This document contains the essential details of the policy, like...
Read MoreWhat is Break-in Period in Car Insurance?
Car insurance policies are applicable only for a limited period. You have to renew them from time to time to continue enjoying the benefits. But if you...
Read MoreEx-showroom Price Vs On-road Price: A Detailed Guide
Buying a car/vehicle is a milestone for many, but the process becomes confusing when understanding the prices. You must have wondered why the price you see at...
Read MoreTips for Avoiding Common Traffic Fines and Penalties
If you are driving, you are automatically obligated to follow the traffic rules, and not doing so can lead to a traffic rules violation fine. But with...
Read MoreWhat are Add-on covers in car insurance? Four Popular Car Insurance Add-ons
What comes first in your mind when you have just bought a car? Most probably, getting its insurance done for financial and legal protection. While comprehensive car...
Read MoreStep-by-Step Guide to Claiming Car Insurance After an Accident
Car accidents happen every day. India witnessed a rise in road accidents in 2022, with over 460,000 mishaps resulting in the loss of 168,491 lives—an all-time high....
Read MoreWhat is IDV in Car Insurance: Meaning and Calculation Explained
When you secure car insurance, you often come across the term ‘Insured Declared Value’ (IDV). It’s an essential factor that directly influences your insurance premium and the...
Read MoreStep-by-Step Guide on How to Calculate Car Insurance Premiums Online
Owning a car is a necessity for many. Suresh, who just got his job and moved to a new city, recently purchased a sedan. As a responsible...
Read MoreElectric Vehicle Insurance: Costs, Coverage and Benefits
Electric vehicles (EVs) are rapidly gaining traction in India, with a significant rise in their sales over recent years. As more consumers opt for electric cars, understanding...
Read MoreDoes Car Insurance Cover Airbag Replacement After an Accident?
India has implemented stringent safety regulations for passenger vehicles. As of October 1, 2023, all passenger vehicles must have six airbags and rear seat belt alarms, a...
Read MoreMonsoon Car Care Tips: Top 10 Car Maintenance Tips for the Monsoon Season
The Indian monsoon, while a welcome respite from the scorching summer heat, brings its own set of challenges, especially for car owners. Waterlogged roads, reduced visibility, and...
Read MoreHow Zero Depreciation Car Insurance Works
Car insurance is an essential purchase for any vehicle owner. To help his wife Priya understand the nuances of car ownership, Rohit entrusts her with the task...
Read MoreAll You Need To Know About Zero Depreciation Car Insurance
If we talk about car insurance, there are numerous options available to policyholders. One of the most beneficial and increasingly popular types of motor insurance is zero...
Read MoreHow to be a greener driver - and save money
India has some of the most polluted cities in the world and one major contributor to its air pollution problem is toxic vehicle exhaust fumes. The staggering...
Read More5 Questions to Ask Before Buying Car Insurance
Since childhood, we have certain dreams and we wish for them to come true as we grow up. One of the most common dreams which we probably...
Read MoreTypes of Driving Licence & Categories in India | Future Generali
A driver’s licence is an official document proving you can legally drive. However, there are different types of driving licences in India that are specific to a...
Read MoreReturn to Invoice cover in Car Insurance: A complete guide
Owning an impressive car is highly satisfactory, but mishaps like accidents or thievery can quickly take this satisfaction out of your life. Is there any solution, then?...
Read MoreHow to Renew Your Driving Licence in India: A Step-by-Step Guide
Cruising on your two-wheeler or SUV has its own thrill, but getting stopped by a traffic police officer without a valid driving licence can quickly become a...
Read MoreHow to Claim Under Third Party Car Insurance
Having car insurance is significant for you and your family's safety. The right car insurance protects you financially when your car gets damaged in any unforeseen event....
Read MoreHow to Download Car Insurance Policy Online
The car insurance policy document is a legally binding agreement between the policyholder and the insurance company. This document contains the essential details of the policy, like...
Read MoreWhat is Break-in Period in Car Insurance?
Car insurance policies are applicable only for a limited period. You have to renew them from time to time to continue enjoying the benefits. But if you...
Read MoreEx-showroom Price Vs On-road Price: A Detailed Guide
Buying a car/vehicle is a milestone for many, but the process becomes confusing when understanding the prices. You must have wondered why the price you see at...
Read MoreTips for Avoiding Common Traffic Fines and Penalties
If you are driving, you are automatically obligated to follow the traffic rules, and not doing so can lead to a traffic rules violation fine. But with...
Read MoreWhat are Add-on covers in car insurance? Four Popular Car Insurance Add-ons
What comes first in your mind when you have just bought a car? Most probably, getting its insurance done for financial and legal protection. While comprehensive car...
Read MoreStep-by-Step Guide to Claiming Car Insurance After an Accident
Car accidents happen every day. India witnessed a rise in road accidents in 2022, with over 460,000 mishaps resulting in the loss of 168,491 lives—an all-time high....
Read More