What Is NCB

NCB is another term for “No Claims Bonus” and is a type of discount or a reward given by an insurance company to people who have made no claims against their insurance policy. When a claim is made by a policyholder, it applies negative points to the NCB amount. The NCB amount at the end of an insurance policy is what the policyholder can use to apply for other discounts and rewards with their insurer.
NCB is used as an incentive for customers to keep away from making claims, this is because the insurance company does not want to pay out on a claim that has been made by an existing customer.

Why NCB important?

No Claims Bonus important because if there is no claim made by a policyholder, they can apply with the insurance company for an No Claims Bonus reduction. This helps to reduce the financial risk of being sued in case of a claim being made. Some insurance companies even give you a bonus. No Claims Bonus is one of the biggest discounts available to customers, and it can have a significant impact on premium cost.

How to claim NCB policy?

A policyholder can claim NCB by visiting their insurance company’s website and claiming that they have had no claims against their policy. If a claim is made against a policy, the insurance company’s NCB reduction is reduced.

No Claim Bonus calculator

No Claim Bonus calculator is an online platform that provides the policyholder with an estimate of how much money they will save if they do not make any claims against their insurance policy. so it is important to understand how much money you would be saving by taking out an insurance policy without making a claim.

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How get NCB reduction?

To get an No Claims Bonus reduction, you need to make claims against your insurance policy. It is best to not make a claim and protect your No Claims Bonus amount. When you make a claim, it will deduct No Claims Bonus points from the policy holder’s NCB liability.

Some important points about NCB that the policy holder should keep in mind:

– The policy holder can apply for an NCB reduction at the time of renewing their insurance policy.

– The No Claims Bonus value will be calculated based on the legal regulations in force. Depending on which country you are living in, a different system will be used to calculate NCB.

– The amount of No Claims Bonus reduction depends on the number of claims made. If a policy holder doesn’t make any claims, they will not get a No Claims Bonus reduction.

– The No Claims Bonus value won’t be fully released from the insurance company.

– Once you have reached your maximum No Claims Bonus liability amount with your insurance company, you can no longer apply for an No Claims Bonus reduction to reduce premium cost.


NCB is important because it really helps to reduce the financial risk and protect the NCB amount. it also offers a discount for insurance policy renewal, as well as discounts and rewards for claims made. NCB also helps to provide benefits and discounts for people who do not make claims and don’t have any mishaps with their vehicle. The biggest benefit of having NCB is that it offers protection against claims made. This saves the policy holder from paying out on unwarranted claims against their insurance policy and gives them more financial freedom.

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