Car Insurance - Do I Need?

victor2

vaio wrote: »

Sorry, I don't understand your answer......

If I have two or three fault claims so my NCB only exists because it was protected and I want to move to another company do I move with max NCB or none?

You take whatever NCB you have.
All the new insurer will need to see is your renewal notice from the existing one, which should show your current entitlement.
That's how it worked for me when I changed insurers a few months back anyway.

dacouch

vaio wrote: »

Your option a. was the one I'd guessed but as for b, does that mean that protected NCB is not transferable between companies?

I'd always assumed it was and if it is I don't see how it's an aid to retention

for example, if I have a couple of fault claims so my NCB only exists because it's protected, can I move it to another company?

It's transferable between most companies however following a claim (Hopefully settled to the customers satisfaction).

a) The terms of pncb (Or even guaranteed ncb) can defer between insurers. Some will allow 2 claims in a three year period, some a five year period some a one year period (Without losing the pncb). The guranteed will in theory allow an unlimited amount of claims in any period. Assuming the customer was with a good insurer they will have one of the better pncb terms. This gives the Insurer the advantage over a new (Possibly cheaper) company as the customer will be aware how easy it was to have a claim that would have affected ncb and will generally renew with their existing insurer.

b) If it was a non fault accident, without pncb the ncd is generally reduced by two years until the Insurer (Or customer) receive their costs from the other Insurer. The customer sees the benefit of the pncb (Often their friends will have told them their premium will shoot up due to the insurers waiting for their outlay back if it was not pncb and they feel pleased it has not)

c) Insurance is an untangible piece of paper / a distress purchase, when a claim has been sorted out efficiently and they have seen the benefit of the pncb (This is compounded by them feeling good with themselves for having taken pncb) they often feel an affinity with their insurer and are more likely to renew. There is nothing better for retaining a customer (Which is where the Insurers make money) than them having a claim and it being sorted out efficiently and them seeing the added benefits of the policy.

d) With a claim they are more likely to keep protecting their no claims bonus.

I always offer it, most people want it for the peace of mind and it's so much easier as it's never easy explaining to a customer their renewal has gone up (Temporarily) due to their non fault claim not being recovered or if it was a fault claim that it has gone up fairly considerably.

I've seen on many occassions people who have had two or even three claims who have had pncb (and who have not). The ones with pncb will have seen loadings for the claims but their say £300 premium would probably be circa £450 whereas without the pncb it would be circa £1000.

Up until fairly recently, with the majority of Insurers you would not get a loading for pncb with one fault claim. Most of my customers had a £100 excess, so the pncb allowed them to claim for the £300 damage that say had happened in a car park and the other driver had driven off. They would pay their £100 excess and the claim be paid with no loading, it would not have been worth claiming without the pncb. Unfortunately now days most companies would apply a loading so it is still possible to be worth claiming in a lot of cases but is not always worth it now

If you had a couple of fault claims and pncb, the amount of Insurers willing to protect your no claims bonus would be serverly limited. Some would not even allow you maximum no claims bonus. Your existing Insurer would normally still allow you to carry on your protected (Depending on their terms see (a) but with two "lives" removed.

PNCB is not for everyone as some would rather save the money as they are confident in their driving abilities. Remember that a vandalism, fire, theft, hit by uninsured driver (Unless recovered from MIB or with an Insurer such as DL), hit and run are all fault claims so would reduce your ncb unless the Insurer or you recover outlay. Also a 50/50 accident would reduce your no claims bonus

Edit you can see how many fault claims and in what period your Insurer allows by looking in your policy booklet (Often available online) under "Protected No Claims Bonus" or "Guaranteed Bonus"

cyclonebri1

vaio wrote: »

I do my DOD car insurance and for him the cheapest option is always FC with a really high excess (£1k on an essentially worthless old Fiesta).

I think the days of TPFT as a cheaper alternative have largely gone

H'mmm thanks chap, I had heard that was the case hence the slant to my post.

But stubornly refuse to pay a ridiculously high excess designed to stop me claiming.

Footnote, I am in the lowest risk bracket so that allows me a little moral high ground, but not for many more years:o

Scooby_Doo.

cyclonebri1 wrote: »

H'mmm thanks chap, I had heard that was the case hence the slant to my post.

But stubornly refuse to pay a ridiculously high excess designed to stop me claiming.

Footnote, I am in the lowest risk bracket so that allows me a little moral high ground, but not for many more years

It's a shame we don't stay there for long before prices start to rise again FIL pay double what it would cost me to insure his Lexus.

vaio

cyclonebri1 wrote: »

....But stubornly refuse to pay a ridiculously high excess designed to stop me claiming.......

Me too but I'll cheerfully take the reduced premium that volunteering for a £1k excess on a car worth maybe £200 gives given that I can't actually think of any circumstances under which it would be worth making a claim

DCFC79

I have legal assistance and personal accident and they dont cost much, i have more for pece of mind, ive never had to use them in 11 years of driving