jamesjones

I think you are correct Fast_Blue_Scooby. I think they will all set you back to 3 years, whether they give you a max of 5/6/...years NCB. If you have NCB protection you can have something like 2 claims in 5 years (differs between insurance companies) without affecting the NCB discount.

They will up your starting premium before discount because of each claim though.
This is how you will be affected if you make a claim with and without NCB protection.
Example 1 with 10 years NCB, protected.
If the starting premium is £2000 and you get full discount (typically 65%) your premium will be £700 + about £50 for the protection. You make a claim and the starting premium goes to £2500 to take into account the claim. Next year you pay 65% = £875 + £50 for protection. You make another claim in the 5 years and your starting premium for the following year goes to £3000. You pay £1050 + £50 for the protection. Any more claims in the 5 years, and you're either very unlucky or a bad driver.

Example 2 with 10 years NCB, not protected.
If the starting premium is £2000 and you get full discount (typically 65%) your premium will be £700. You make a claim and the starting premium the following year goes to £2500. You pay 100% = £2500. The following year you pay 70% (1 year NCB is 30%) = £1750. If you have another accident and lose the NCB again, your starting premium the next year may be e.g. £3000, so you will once again pay the full £3000. The next year 70% of that (£2100), next year 60% (£1800), and so on.

You need to read your small print to see what your own insurance company will do but for the small amount that protecting usually is, I wouldn't even think about taking a chance on it. You make up your own mind but I reckon the numbers speak for themselves.

J

Edited to say I'm not an insurer and this is my own understanding of what happens. Someone correct me if I'm wrong.


[Edited by jamesjones - 9/1/2003 3:51:21 PM]

Boost II

iTrader: (1)

If someone has many years of no claims discount say 10 years - is there any point protecting it. If they had an accident and as a result lost 2 years NCB then they would still have 8 which qualifies for the maximum discount available at most places. Obviously annual premiums would be cheaper by not paying for the NCB protection, that would be the point of doing it.

Have I overlooked anything in thinking this way?

Fast_Blue_Scooby

I thought some companies give you a max of 5 years NCB regardless of how many years you have built up. So if you have an accident and you lose 2 years, you start back at 3 years NCB if you are not protected!
I could be wrong though??

little miss fire

It's true that most insurance companies give a maximum NCD of 5 years. I had 10 years no claims last year, made a claim (no protected NCD) and have had to go back down to 3 years NCD this year. Not happy! but there, these things happen

Fast_Blue_Scooby

I think something should be done about the way insurance companies do this. IT IS JUST SO UNFAIR.

I would have thought that someone with 15 years NBC should be paying less than someone with 5 years NCB. And why should the person with 15 years fall back to 3 years NCB.

They should have a scale based from 1 year NCB right the way through to say 25 years or higher. With maybe 10 years say being 80% and from then onwards, you might get 1% for each year. That way you would have something to build on each year. Also if you make a claim, you would not go down to just 3 years NCB which is a joke if you have built up 20 years or so but to a more fairer level of NCB.

I am sick of having to pay more each year even though I have gained another 1 year NCB even though it makes no difference to the amount of NCB I can have.

Is there nothing the general public can do about it????

MattW

Too true. The other pain is building up 10 years ncb with insurer a and then moving to b who work on 5 years max. Come renewel your letter wil say 5 years ncb!!

Boost II

iTrader: (1)

Yeah probably need to read the small print. Although my insurer stops offering a further discount after 5 years I think that they have all 7 years recorded in the statement of facts section or what ever it is called - hence just wondering what would happen. Have had one accident a while ago but it was whilst insured under someone else's policy - they lost 2 years NCB but I have to declare the accident with my policy. Just thinking of ways to keep the premiums down - LV up £200 on renewal despite no further claims over the last year. Was just thinking I could potentially risk losing 2 yrs NCB and still have 5 left - sounds too good to be tru doesn't it!

jamesjones

Sounds fair mate, but that won't make the greedy insurance companies rich!!

To be fair the insurance companies have been hit hard by thieving wankas and people who can't drive.

I for one, am glad LV are excluding under 30's from the Scooby policies because it means lower premiums for me. I have 12 years NCB, never have had a claim in my 17 years of driving, always driven fast cars and have paid more in premiums than my current Scoob is worth. Am I allowed to have an accident and still pay the same premium next year. I doubt it.

j

Mad Hammer

iTrader: (55)

It's not the theiving gits, it's the PI claims that insurers have to pay! I have worked in the industry for years and you would be amazed how many large PI claims there are now. I'm talking millions of pounds in some instances!

Clive

pugoetru

IF theres blame theres a claim

and we get a big fat bonus LOL

this country is turning into america

Hoth

For those of you who are insured by companies that only give a max NCB of 5 years. Keep all your renewals. Then you can say I was insured in 2001 with ---- and had 5 years NCB. Its 2 years now and I have had no claims .. here is my renewal notices to prove it...now I have 7 years NCB.
Sent them a copy with a letter when you take out the new policy so later on they can't get you.