What Is A No Claims Bonus

A no claims bonus, sometimes called a no claims discount, is a reduction in your car insurance premium cost based on the number of consecutive years that you have been previously insured without you claiming or someone making a claim against you.

A no claims bonus only applies to the policy holder and not the named drivers on the policy. It kicks in after a minimum of one year. The discount scale varies between insurers, but if you’ve had no claims in the last five or more years, you can look forward to a significant discount on your car insurance.

No Claims Bonus Protection

After making any claim, even for something that is not your fault, your premium may be affected the following year. This will be due to a loss or reduction of your no claim bonus. You can choose extra cover to protect some of or all of your no claims bonus in the event you have to make a claim. Ask about No Claims Bonus Protection or Step-Back Bonus Protection.