MarkT

had a claim last year & NCB went from 70% to 65% - seemed fair - shouldn't make much difference they said.
However now I have renewal notice & it's gone up 33% !!
Doesn't seem to add up.
Can insurance companies just make it up as they go along - in which case what is the point of a NCB system anyway ?!
I mean if they are just going to recoup their costs why do we bother with insuring fully comp anyway.
Is this the norm or am I being stitched up ?

what would scooby do

Yup - NCB is a discount, they also load your premium when you have accidents or convictions.

People with protected NCB are somewhat amazed that their premium goes up after a smash..

jamesjones

MarkT

It's very easy to see how the premium goes up so much with very little adjustments because of the accident. The NCB discount is just a discount as WWSD says.

If your starting premium is £2000 and you have a 70% NCB then you'll pay £600.
You have an accident which adds just a measly 10% to your premium, i.e. now £2200.
Your NCB drops just 5% to 65%.
You now end up paying £770 which is almost 30% more than the previous year.

I'm sure you'll agree the adjustments are small but the end result fairly big. You have to remember your starting premium before discounts will be in the thousands, so any difference will be quite large.

I know this doesn't really help you, but hopefully you see how the insurers have calculated the premium.

J

MarkT

ok - worked it out & premium before discount has gone up 18% on last year.
still seems high but there u go - probably still cheaper than changing insurer.