The Great No Claims con!

exil

It's up to you - try to get a better quote elsewhere - use one of those sites advertised on the tv

John_Pierpoint

I am the victim of an unregistered claims agent, who got in touch, via a spiv firm of solicitors, directly with my insurance company not with me. So though I do admit to a very small "shunt", with no damage to my vehicle and no apparent damage to the third party, I have no idea what it is I am accused of.

Well all that is 5 months ago and the claim is still logged by my insurance company as "outstanding", meanwhile my renewal notice has arrived showing the loss of two years no claims bonus.

So how long can an insurance company leave me in limbo land, while they stall the lawyer, who must have presented a very dodgy case, BUT continue to extract extra premiums from me?

lisyloo

So how long can an insurance company leave me in limbo land

Well I'm still trying to sort out a problem from September 2005, so at least 3 years premiums.
I'm hoping to sort it out before the 4th year.

losgiganteskid

The situation regarding how many years no claim bonus a particular company takes into account when calculating a premium (and its equivelant percentage worth) is pretty much something and nothing. Different companies use different scales of NCB (and step back bonus ) the varing degrees as to what each year represents percentage wise is also not too important. What is important is the bottom line ie, how much dosh you actually hand over.

Many moons ago the normal scale of NCB was 30, 40, 50 and 60% after 1, 2, 3 & 4yrs respectively with normal step back ncb 60 > 40 and 50 > 30%

Some bright sparks in Marketing suggested going to 65% maximum ncb (which makes great advertising - some insurers now shout from the rooftops they will give 70%+), but in reality it doesn't matter one iota - it's what you are being asked to pay that's the deciding factor (always supposing you are happy with the cover being provided)

Moons ago a certain underwriter at Lloyds (Mitre) used to have a maximum No Claim discount of 50% - whereas virtually all other insurers were using the 30, 40, 50 & 60% scale - on that basis Mitre would not get any business from max bonus earners - not so. It all depends on what you are taking your % figure off ie would you rather go with an insurer that offers you 65% at a net premium of £200 or say Mitre who will give you 50% maximum but require a premium of £185 - no contest.

samw_3

exil wrote: »

It's up to you - try to get a better quote elsewhere - use one of those sites advertised on the tv

Not sure what your point is here?

I went on one of htese comparision sites and got a good deal due to having 9 yrs + NCB. The RAC refuse to confirm this as they only pass on 5yrs +. The company I have moved to goes upto full NCB at 9 years, which I have. SO why should the RAC stop me getting the best deal on my insurance?
I have managed to go back a year further, to the AA who will keep the record of your actual NCB and they are writing me a letter to confirm that in 2006 I had 9 yrs NCB. Surely this should be unecessary? :mad: To me it seems to be stopping you moving to other insurers, which has to be wrong.

shelly

samw wrote: »

Not sure what your point is here?

I went on one of htese comparision sites and got a good deal due to having 9 yrs + NCB. The RAC refuse to confirm this as they only pass on 5yrs +. The company I have moved to goes upto full NCB at 9 years, which I have. SO why should the RAC stop me getting the best deal on my insurance?
I have managed to go back a year further, to the AA who will keep the record of your actual NCB and they are writing me a letter to confirm that in 2006 I had 9 yrs NCB. Surely this should be unecessary? :mad: To me it seems to be stopping you moving to other insurers, which has to be wrong.

Is there that much of a difference between 5 yrs NCB and 9 yrs NCB in discount terms? Most ins co's only go up to 5 yrs, 6 if you are lucky. Hubby has over 15 yrs NCB which he protects but when getting a quote you just have to go with the max they recognise. Why worry about having 9 yrs if the discount scale only goes up to 5 or 6 yrs? You don't get any more discount for having over and above their maximum.

mattymoo

shelly wrote: »

Is there that much of a difference between 5 yrs NCB and 9 yrs NCB in discount terms? Most ins co's only go up to 5 yrs, 6 if you are lucky. Hubby has over 15 yrs NCB which he protects but when getting a quote you just have to go with the max they recognise. Why worry about having 9 yrs if the discount scale only goes up to 5 or 6 yrs? You don't get any more discount for having over and above their maximum.

The problem people have is the expectation they will only go back to 7 yrs NCD if they had an accident with 9yrs NCD. In fact they would go back to 3 yrs discount with most insurers.

If you stay with a firm that recognises 9 yrs NCD you should be okay. But their premium may be higher to begin with and since 9 yrs equates to 70% and 5 yrs with other insurers = 65% then you may find other firms are cheaper.

If you move to another firm they will recognise that you have full NCD (but not 9 yrs) and give you their full 5 yr discount. Then you have a claim and unless you have protected bonus, you go from 5 to 3yrs NCD at renewal. However, people think they have gone from 9 to 3yrs but in discount terms they have gone from 70 to 50%.

A case of one firms marketing spin causing confusion for the rest of the market, in a similar way to More Thans protected NCD for life.

jennifernil

The point samw is making is that he went from the AA who recognise 9 years to the RAC who use a max of 5 years, then to another which will recognise 9 years but RAC renewal only states 5 so this is all they would credit him with. Therefore his premium would be higher than it should have been. Luckily he can get AA to confirm he did have 9 years the year before.

But so much hassle. There should be an industry standard.

matt_james27

hey everyone just a quick Q about No Claims discounts, I had 1 year NCD and was in my 6th claim free month in my 2nd year this month, when I had an accident. Its an own fault claim and I reported to my insurers, I am just confused at what my NCD at renewal is likely to be, will it be 0 years? it probably will be I'm guessing, not lookin forward to renewal!!

thanks!

mattymoo

Yes, I'm afraid it will be 0. Thankfully insurers do not do negative years NCD - they call it a premium loading instead.