Claiming no-claim bonus on new car insurance; here’s how you can do it

No-claim bonus on new car insurance: Car insurance is a necessary expense for every car owner. If you've accrued a no-claim bonus (NCB) on your previous car insurance policy, you can transfer it to your new car insurance policy, saving you money. Here's a simple guide to help you claim your NCB:

Obtain the NCB CertificateContact your previous car insurance provider to obtain a no-claim bonus certificate. If you're switching to a new insurer, you'll need to get a no-claim bonus transfer certificate.

Gather required documentsTo claim your NCB, ensure you have the following documents ready:
- Old car insurance policy document.
- Copy of the no-claim bonus certificate from your previous policy.
- Vehicle details, including make and model.

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Inform your new insurance providerLet your new insurance provider know about your eligibility for the NCB when purchasing your new policy. This step is crucial and should be done before making any payments. Your insurance company will use the NCB certificate and vehicle details to calculate the discount, which will then be applied to your premium amount.

Pay the remaining premiumOnce the NCB discount is applied, you can proceed to pay the remaining premium amount. It's essential to ensure timely payment to avoid any lapses in coverage.

Car insurance plays a pivotal role in shielding both your vehicle and financial well-being from unexpected hazards. It offers vital financial security by covering expenses arising from accidents, theft, or car damage. Without insurance, you'd bear the brunt of repair or replacement costs, which could be hefty. Moreover, car insurance grants peace of mind, assuring protection against potential financial setbacks due to unforeseen road incidents.

With inputs from Centre for Investment Education and Learning content which appeared in Economic Times

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