When you renew your two-wheeler insurance online, one of the key benefits you may be entitled to is the No Claims Bonus (NCB). Insurers provide the NCB as an incentive to policyholders who have not submitted any claims during their policy. It is a reduction in your premium due to your safe riding habits. Nevertheless, this advantage may be forfeited if you submit a claim, leading to an increased premium at your subsequent motor insurance renewal. To prevent this, you may purchase No Claims Bonus protection or NCB protection insurance, a valuable add-on feature that protects your NCB in case of a claim.
What is No Claims Bonus (NCB)?
An insurance company will give customers a “No Claims Bonus” if they do not file any claims during the policy year. Most of the time, it comes as a discount on the premium when the insurance is renewed. This discount can add up over time, and some insurance companies will even cut your rate by up to 50% after a few years of no claims. An NCB of 20% might be given to you if you have not claimed for a year. This discount goes up for every year you do not make a claim, so it is a big way to lower your general insurance cost.
What is NCB Protection?
NCB protection, or No Claims Bonus protection cover, is an add-on feature that lets you retain your NCB even if you file a claim during the policy year. Normally, a claim reduces your NCB and increases your premium, but with this cover, you can enjoy the discount during your motor insurance renewal.
It is important to note that NCB protection does not cover all claims and may have conditions set by insurers. For instance, you might need to pay a small excess or deductible when claiming, but your NCB stays unaffected.
Why Should You Opt for NCB Protection?
- Maintain Premium Discounts: The most significant benefit of selecting NCB protection is maintaining your premium discount even after submitting a claim. This can result in significant savings over time, particularly if you have accumulated a high NCB.
- Accidents Are Unpredictable:Accidents can happen to even the safest riders. Without NCB protection, a single claim might significantly raise your renewal price. Even after an accident, NCB protection keeps your premium low.
- Protect Your Long-Term Savings: The discount becomes more substantial as your NCB increases. Opting for NCB protection helps you safeguard those long-term savings by preventing a sudden increase in your premium due to an unexpected claim.
- Easy to Add:Adding an NCB protection cover is simple. You can purchase this add-on while buying your two-wheeler insurance online or during the motor insurance renewal. It is a cost-effective way to protect the benefits you have earned over time.
No Claims Bonus Protection is a useful add-on that protects your hard-earned NCB and ensures you save money on your two-wheeler insurance fees. You can ride confidently, knowing that small claims will not affect your long-term benefits if you buy this policy.
