Car Insurance – Protecting a “No Claims Bonus”
The No Claims Bonus is the reward that an insurance company gives you for 5 years of driving carefully. You may pay for a small knock or two along the way from your own pocket, but the No Claims Bonus, being anything between a 65% to 75% discount, can add up to a lot of money saved on your premium, the next time you insure your car with the same company.
This is an asset worth protecting, and most insurance companies do offer you schemes that keep the No Claims Bonus safe. Terms and conditions vary from company to company, so research on the internet is time well spent and there are comparison sites that can help you. It is important to be aware that a No Claims Bonus is not a No Blame/Fault Bonus, so should you claim on an accident that was not caused by you, it is possible for you to lose the Bonus, if the other party does not agree with your Insurer.
Researching insurance companies through comparison sites does bear fruit in the unfortunate event that you do have to make a claim, because some companies are willing to insert a clause whereby your No Claims Bonus can be reduced by two years, rather than being lost completely. Chances of an accident increase if your work entails many miles of motor travel and locating an insurance company that offers the best premium rates inclusive of a clause that protects your No Claim Bonus is surely well worth the time spent on the net.
Comparison sites come in handy when you consider that not all companies offer the same schemes. Some companies only offer 50% to 55% with higher discounts available should you wish to insure a second automobile with the same company.
Should you locate an insurance company that does offer anything between 65% and 75% discount on your premium rates, it is definitely worth exploring their no claim protection clause and paying for it, because that will insure that your No Claim Bonus will remain intact. Of course, the onus is on you to drive carefully from now onwards because no insurance company can really help you if you have too many accidents in too short a period of time!