What is No Claims Bonus?
Insurance companies will reduce your premium based on their experience of you as a driver. They will give you discounts on your premium according to the number of years that you have not made a claim on the policy. This can be substantial and amounts in most cases to 65% of the premium for a full no claims bonus. Obviously the company is trying to reduce claims and to encourage you to be careful when you are driving and not take risks. It is important to realise that the bonus is for not claiming, it is not related to fault. If you have an accident and it isn’t your fault, unless the insurance company can reclaim the money from the faulty person, the claim will still count against you. This is particularly relevant in relation to vandalism damage, where the claim is obviously not your fault, but the odds of getting the vandal to cover the cost is very long. You can usually transfer the no claim bonus that you have built up between companies, but always ensure that you retain all the do
