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    • 88Sarah
    • By 88Sarah 15th Sep 17, 9:33 AM
    • 7Posts
    • 5Thanks
    88Sarah
    0 WOW
    Annual TravelInsurance- Why is there not a no claims bonus
    • #1
    • 15th Sep 17, 9:33 AM
    0 WOW
    Annual TravelInsurance- Why is there not a no claims bonus 15th Sep 17 at 9:33 AM
    When you take out a Car Insurance Policy and don't claim you receive a no claims bonus/discount with an increasing percentage discount every year up to 70%. However when you take out an annual travel insurance there does not seem to be any no claims benefit. Why is this so. It is particularly unfair on people who have a pre existing condition. Consequently there annual premium is raise considerable but if they do not claim for years they still have to pay the inflated premium. Some Home Insurances like Saga also offer No claims discounts.
Page 1
    • Ganga
    • By Ganga 15th Sep 17, 9:58 AM
    • 731 Posts
    • 354 Thanks
    Ganga
    • #2
    • 15th Sep 17, 9:58 AM
    • #2
    • 15th Sep 17, 9:58 AM
    When you take out a Car Insurance Policy and don't claim you receive a no claims bonus/discount with an increasing percentage discount every year up to 70%. However when you take out an annual travel insurance there does not seem to be any no claims benefit. Why is this so. It is particularly unfair on people who have a pre existing condition. Consequently there annual premium is raise considerable but if they do not claim for years they still have to pay the inflated premium. Some Home Insurances like Saga also offer No claims discounts.
    Originally posted by 88Sarah
    Whilst i completly agree with you i suppose that the thinking behind it would be with older people the risk increases with age so discounting it year on year would not work on their business model
    ITS NOT EASY TO GET EVERYTHING WRONG ,I HAVE TO WORK HARD TO DO IT!
    • WAYT
    • By WAYT 15th Sep 17, 10:19 AM
    • 711 Posts
    • 311 Thanks
    WAYT
    • #3
    • 15th Sep 17, 10:19 AM
    • #3
    • 15th Sep 17, 10:19 AM
    I get a renewal discount of at least 10%
    • onomatopoeia99
    • By onomatopoeia99 15th Sep 17, 10:48 AM
    • 3,348 Posts
    • 7,382 Thanks
    onomatopoeia99
    • #4
    • 15th Sep 17, 10:48 AM
    • #4
    • 15th Sep 17, 10:48 AM
    No claims discount is simply a promotional tool used by vehicle insurers. If travel insurers think it will increase the profitability of their business, they will introduce it too.

    There is no statutory right to any kind of no claims discount on insurance.
    INTP, nerd, libertarian and scifi geek.
    Home is where my books are.
    • Dean'sDilemma
    • By Dean'sDilemma 15th Sep 17, 10:54 AM
    • 22 Posts
    • 5 Thanks
    Dean'sDilemma
    • #5
    • 15th Sep 17, 10:54 AM
    • #5
    • 15th Sep 17, 10:54 AM
    I fully agree with the originator. My brother had a Heart Valve repair 3 years ago and was in mind correctly was charge a significant supplement for his travel insurance as at that time there was obviously a higher risk certainly for the first year. Now over 3 years has passed. He has been on a number of holidays and never claimed for anything off his travel insurance. he has an annual check ups at the hospital as a precaution. He has been told he is fine and been given a letter to this effect. However the insurance company will not reduce his premium If a no claims policy had been in existence his premium would have reduced.
    • bap98189
    • By bap98189 15th Sep 17, 12:50 PM
    • 2,455 Posts
    • 3,976 Thanks
    bap98189
    • #6
    • 15th Sep 17, 12:50 PM
    • #6
    • 15th Sep 17, 12:50 PM
    I suspect it is because of the very low level of claims. I suspect the vast majority of travel insurance policies are never claimed on, so essentially almost everyone would end up with a NCB.

    Also, with vehicle insurance, the probability of a claim is to some extent down to individual behaviour. With travel insurance it really isn't. It's far more down to random chance than anything else.
    • sheramber
    • By sheramber 15th Sep 17, 4:09 PM
    • 3,585 Posts
    • 2,659 Thanks
    sheramber
    • #7
    • 15th Sep 17, 4:09 PM
    • #7
    • 15th Sep 17, 4:09 PM
    If A NCB was given premiums would be higher for everybody in the first place.
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