Protected No Claims Discount

westhammaniac

Hi , Just need a bit of advice . Have the maximum 9 years NCD - protected (13 years accident free driving) . Had an small accident which scrapped paint and has scrapped my bumper . Not major damage and no other car was involved only a rock sticking out of a bank . Reading my insurance policy for the protected no claims its mentions this doesn't mean that your premium won't rise at renewal as a  result of the accident if i make a claim.  I'm confused - that's what I thought paying the extra protection was there to cover this and it wouldn't affect my premium. I haven't made the claim yet with insurers and just need some advice

retiredbanker1

Do you know how much it will cost to fix your car? What is your excess?

Is it worth making a claim?

Now your existing company may or may not bump your premium at renewal - we do not know at this stage - they may increase it due to inflation (not because of your claim if you choose to put one in) or another reason.

If you do decide to claim you will have to declare this to any new potential insurer should you move probably for 5 years.

Only you know the figures.

Aretnap

NCD protection does what it says on the tin - it protects your NCD. It doesn't guarantee that your premium will never rise for any reason.

To give you an example of how it works - all numbers are arbitrary and made up for illustration purposes:

Your base premium is £1000. You have 5 years or more NCD giving you a discount of 70%. Your actual premium is £300.

You have an accident. Your insurer applies a loading of 20% as a result so your base premium becomes £1200. Your NCD also drops to 3 years, giving you a discount of 50%. Your actual premium is £600.

You have the same accident but your NCD is protected. Your base premium goes up to £1200 but you keep your 70% discount giving you a premium of £360. Your premium has still gone up, but not by as much as it would have done had you not protected your NCD.