The No Claims Bonus discount has long been a feature of motor insurance policies, but what is it and how do you avail of one? Here’s our quick and easy guide.
What is a No Claims Bonus?
A No Claims Bonus is a discount applied to a motor insurance policy for a policyholder who has not made any claims on the policy for a number of years. The longer you drive without making any claims - up to a maximum of nine years - the bigger the discount will be. The No Claims Bonus rewards and encourages safe driving.
How do I avail of my No claims Bonus Discount?
Your No Claims Bonus must have been earned on a similar policy such as private motor insurance, taxi insurance or a commercial vehicle insurance. Your No Claims Bonus can be carried over from a previous insurer as long as it was earned in the last two years. Those who have lived in the EU, USA, Canada, New Zealand and Australia over the past two years can also transfer their No Claims Bonus.
Do I need proof of my No Claims Bonus?
Yes. When you buy your policy, you will need to send us a copy or a photograph of your renewal notice or a letter from your previous insurer. You can email your documents to firstname.lastname@example.org, or post them to us at Dublin Road, Cavan, Co Cavan. Remember to write your policy or reference number clearly on any documents you send to us.
Can I use my No Claims Bonus on a second policy?
No. You can only use your No Claims Bonus on one policy at a time. You will have to build up your No Claims Bonus from zero on your second policy. However, with Liberty Insurance you may be eligible for a discount on your second policy if you are the driver on both policies with us.
Can I avail of a No Claims Bonus if I was a named driver?
You may be eligible for a named driver discount if this is the first policy in your name, so long as you’ve been a named driver on another policy and have made no claims.
Can I earn a No Claims Bonus if I hold a Provisional Licence?
Yes. Once a policy is in your own name, regardless of licence type, you will start to earn a No Claims Bonus.