Losing ncb, despite not claiming

GuestyGuest

Hi

I was wondering if somebody could help me please. I'd just like some advice about losing my ncb.

I lightly rear-ended someone on my way back from work (I was doing no more than 7mph). No damage to my car or his (from what the eye can see) but he said he's taking it to the body shop (which I expected).

I contacted my insurance company shortly after and explained what had happened. I am NOT claiming and until tomorrow, we won't know if the other party is going to or not either.

About an hour after my conversation with the insurers (Diamond), I received a letter by email with the following line: This incident will result in your No Claims Bonus being reduced (subject to any Bonus Protection you may have).

Is it standard procedure to lose your ncb when no claim has yet been and may never be made? My understanding has aways been that you only lose your no claims once a claim has been made. I could be wrong though?? It would be great for some insight on this.

Thanks in advance and my apologies if something similar has already been posted.

Quentin

Yes it's standard when you are to blame.

It's temporary, and will be reinstated if no claim es ensues from the other side.

Ask your insurer his long the claim will remain open.

This can be a pain if renewal comes due before the matter is closed!

huckster

Yes, if you report a fault accident, they will deduct 2 years NCB at the next renewal, on the basis that a claim may be paid out to the third party. Even if the third party has not claimed by renewal the NCB may still be deducted, as a third party may be allowed 3 years in which to claim. If after such a period no claim has been paid, the NCB will be reinstated and any refund in premium issued.

The only way you can avoid this situation is getting a signed statement from the third party that they won't be submitting any claim related to this accident at any time.

GuestyGuest

Thank you both for such speedy responses - it really is appreciated At least I can rest a little now knowing that this is, in fact, standard procedure.

I also had no idea that the third party could have up to 3 years to claim - definitely makes sense why they would then deduct the ncb.

Thanks again

Quentin

GuestyGuest wrote: »

Thank you both for such speedy responses - it really is appreciated At least I can rest a little now knowing that this is, in fact, standard procedure.

I also had no idea that the third party could have up to 3 years to claim - definitely makes sense why they would then deduct the ncb.

Thanks again

The third party actually has 6 years to claim for damage ( it's 3 years for claiming for injuries sustained)

But it's unlikely your ncd will be affected for as long as 3 years.

Different insurers have different policies over this so you are best to go to the horse's mouth and ask them when you'll get it reinstated if no claim is made

mattk_180

Quentin wrote: »

But it's unlikely your ncd will be affected for as long as 3 years.

That's right. If the third party is not forthcoming with a claim, your insurer will write to theirs to say they will close the matter after X amount of time if they do not hear anything. At which point everything will go back to normal until/if the third party decides to pursue anything at a later date.


Just hope that this comes before your renewal date otherwise you will have an increased premium due to the claim being noted and your NCB being effected. Even if that is the case, then if the claim gets closed with no payments after the renewal you should have your NCB reinstated and any extra premium refunded.