Proof of NCD

[Deleted User]

Hi I'm thinking of changing my car insurance as the renewal amount with my current company is a lot higher than a new quote. However, they haven't asked for proof of NCD, but if they do, what can I send them? I actually have about 15 years NCD, I been with my current company for 5 years, and about 3 with the one before that, but on the renewal notice they only show 60% NCD. They don't show the actual number of years, and I told this new company that I have 9+years. But I am unable to prove it. I am very annoyed with insurance companies, because they put the % NCD on renewal notices, and yet, they want the actual number of years when you take a new policy.

dunstonh

but if they do, what can I send them?

Your renewal notice will usually show the NCD you have accrued. Or they can provide it on request.

I actually have about 15 years NCD, I been with my current company for 5 years, and about 3 with the one before that, but on the renewal notice they only show 60% NCD. They don't show the actual number of years, and I told this new company that I have 9+years. But I am unable to prove it. I am very annoyed with insurance companies, because they put the % NCD on renewal notices, and yet, they want the actual number of years when you take a new policy.

6 years is commonly used by many companies. Some have internal NCDs that go higher than that but they are not necessarily recognised by other insurers. e.g. if you move from a firm that prices on 10 years to one that prices on 6 years then you may lose those 4 years unless you can provide proof.

This is not the fault of insurance companies. You shouldnt be annoyed at them. You should be annoyed at the quote sites that dont issue warnings that the brokers of old had to consider but people are now bypassing. If you DIY and bypass the brokers then you need to be aware of the pros and cons of what you are doing. Just like anything you DIY in.

[Deleted User]

dunstonh wrote: »

Your renewal notice will usually show the NCD you have accrued. Or they can provide it on request.

My renewal notice shows 60% - my point is that it should show the number of years as well since the % alone does not reflect the number of years.

6 years is commonly used by many companies. Some have internal NCDs that go higher than that but they are not necessarily recognised by other insurers. e.g. if you move from a firm that prices on 10 years to one that prices on 6 years then you may lose those 4 years unless you can provide proof.

Yes - this is another catch :eek: I was caught by this a few years ago. The insurance co. (Morethan) could not give me proof of my 9 years NCD because they only kept a max of 6 years on file whereas the new company required 9+ years to qualify for full NCD.

This is not the fault of insurance companies. You shouldnt be annoyed at them. You should be annoyed at the quote sites that dont issue warnings that the brokers of old had to consider but people are now bypassing. If you DIY and bypass the brokers then you need to be aware of the pros and cons of what you are doing. Just like anything you DIY in.

Insurance companies should get their act together because it's customers who always suffer the consequences of their deceitful tactics. I'm now stuck with having to pay a higher premium to my current insurer or lose out on my NCD and still pay a higher premium. This is an unfair catch. Sorry for the rant!!!

mikey72

My maximum no claims varies from year to year. The main thing is even with 5 years, or 60%, or 6 years +, it's always been cheaper to move than to stay with an existing insurer.
I hate to think what if would be if I had 30 years no claims, but stayed with an insurer that was double eveyone else each year.
I'd probably need a second mortgage by now!

dunstonh

Insurance companies should get their act together because it's customers who always suffer the consequences of their deceitful tactics. I'm now stuck with having to pay a higher premium to my current insurer or lose out on my NCD and still pay a higher premium. This is an unfair catch. Sorry for the rant!!!

The insurance companies publish their terms. It is the broker or distributer that gives you the information or you need to read it if you DIY. So, how is it the insurers fault?

I would certainly agree that quote comparison sites are dire at giving proper research information but they are not insurance companies. Don't mix up distribution by companies who primarily cater for people focusing on premiums with insurance companies. There are plenty of areas where you can rightly have a go at insurers but publishing their terms and following their terms is not one of them.

You don't need to be stuck with the same insurer. You just need to be aware of what to do. A broker would do this for you but if you dont use a broker and want to DIY then you have to be prepared to take on the responsibility that goes with DIY.

mikey72

I've never found going past 5 or 6 years makes a great difference.
I've just accepted it's an artificial ceiling insurers put on ncd.
So I pay the same after thirty years as I would after five, but so long as it's the same, or less than last year, and more importantly, it's a company I've actually heard of, I'm happy.

[Deleted User]

dunstonh wrote: »

You don't need to be stuck with the same insurer. You just need to be aware of what to do. A broker would do this for you but if you dont use a broker and want to DIY then you have to be prepared to take on the responsibility that goes with DIY.

I can take on the responsibility of DIY, but what makes me angry is why insurance companies use different criteria such as quoting 60% on renewal notice which is not necessarily the same as number of years NCD. Yet, to get a quote, they specifically want to know the number of years.

Or as you quite right say, some use 6 years for full NCD, while others use 10+. They are also reluctant to send you the relevant documentation to prove your position. All tactics of entrapment. To prove my full NCD years, I have to write to some 3-4 different insurers.

[Deleted User]

mikey72 wrote: »

I've never found going past 5 or 6 years makes a great difference.
I've just accepted it's an artificial ceiling insurers put on ncd.
So I pay the same after thirty years as I would after five, but so long as it's the same, or less than last year, and more importantly, it's a company I've actually heard of, I'm happy.

Thank you Mikey - I understand what you're saying. The new quote I got is cheaper than my renewal with my current insurer, even though I said that I have 5 years NCD; of course, it was a lot more cheaper when I said I have 9+ years, but for me, I have to write to 2 different insurers to prove even 5 years.

[Deleted User]

My renewal premium is 40% higher than last year's premium - I think this is outrageous.

keith1950

Hi, in future you need to photocopy each renewal that you receive so that you have a paper trail of proof dating back for years. This way I have managed to go from 12 years to 5+ years and then back up to 13 years. As mikey72 says, going past 5 years doesn't much difference, its around 1% per year so some might go up to say 65% or 70%. One insurer advertises 'up to 90% for carefull drivers' but I have always found them a lot dearer than some that only advertise 5+ years. A lot of people don't seem to grasp that if you are on say 10 years and have an accident then the 2 year reduction comes off 5 years and not off the 10 years which sort of proves the point about the extra years of NCD being an internal issue.

sanfly

keith1950 wrote: »

A lot of people don't seem to grasp that if you are on say 10 years and have an accident then the 2 year reduction comes off 5 years and not off the 10 years which sort of proves the point about the extra years of NCD being an internal issue.

Surely the statement above just proves insurance companies should be made to "sing from the same hymn sheet" in terms of how their NCD system works, if the above is accurate then I'm still to read any T&C's that say that.............