The value of No Claims Bonus

Mildly_Miffed

I'm just looking through the paperwork for potentially renewing last year's insurance with a well-known nautical-themed insurer.

The paperwork includes details of my 10yr No Claims.

Cost to protect it? £5.60 inc IPT

Value of No Claims by length?
1yr - 17%
2yr - 17%
3yr - 17%
4yr - 17%
5yr - 18%
6yr - 18%
7yr - 18%
8yr - 18%
9yr+ - 25%

I am... surprised and unsurprised simultaneously.

Mildly_Miffed

Oh, and none of the renewal paperwork tells me what the excesses are - and while the premium is 10% down on last year's, it's 15% up on others...

Mildly_Miffed

...and, just for contrast, the new policy (yellow breakdown brand)...

1yr - 12%
2yr - 16%
3yr - 18%
4yr - 20%
5yr - 21%
6yr - 23%
7yr - 24%
8yr - 31%
9yr+ - 50%
And protection was pennies under a tenner.

MyRealNameToo

Mildly_Miffed said:

I'm just looking through the paperwork for potentially renewing last year's insurance with a well-known nautical-themed insurer.

The paperwork includes details of my 10yr No Claims.

Cost to protect it? £5.60 inc IPT

Value of No Claims by length?
1yr - 17%
2yr - 17%
3yr - 17%
4yr - 17%
5yr - 18%
6yr - 18%
7yr - 18%
8yr - 18%
9yr+ - 25%

I am... surprised and unsurprised simultaneously.

Normally they would state its the average NCD value, they dont state what your personal discount it. 

Scale used to be 30% for one year and 65% or 70% for 5 years but given the vast majority of the market has 5years or more NCD its a bit odd that the vast majority are only paying circa 30% of the "normal" price. 

These days NCD tends to be more complex hence why they only give an average NCD plus the minimum premium applies to the discounted rate so if you are already as low as they'll go your NCD will be worth nothing. 

The percentages are published annually, you dont need to be coy over who it is