NCD stands for No Claims Discount and it’s earned for every year you are insured without having an accident or making a claim on your insurance policy.
The NCD is sometimes referred to as an NCB (No Claims Bonus) and is a percentage discount applied by an insurer to your quote.
The percentage discount varies from insurer to insurer but if you can build an NCB of more than five years, you’re more than likely to get a 50% discount off the your insurance quote as it signifies you’re a capable road users.
Here’s a rough guide as to the sort of NCB discount percentages you can expect:
1 year NCD – 25%
2 years NCD – 35%
3 years NCD – 40%
4 years NCD – 45%
5 years NCD – 55%
6 years NCD – 65%
7 years NCD – 70%
8 years NCD – 75%
9 years NCD – 80%
When stating your NCB for any new motorbike insurance quote, you’ll need to provide proof. At the end of your insurance policy, you can request your NCB certificate from your insurer.
Many insurers will include your NCD certificate in your renewal letter but this is becoming increasingly scarce as insurers know that with the proof you are more likely to move to a different insurer. Without it, you’re more likely to accept the premium they have quoted, rather than have to dig out their contact details and request your certificate.
You’ve spent years building up your NCB and so you really don’t want to lose it. The good news is, you can protect it.
The level of protection offered depends on your insurer’s policy, however essentially a protected NCB allows you to make a certain amount of claims without your NCB being affected.
This doesn’t necessarily mean your premiums will never rise. Insurers change their metrics all the time – a certain amount of them are out of your control – like crime in your area or the number of claims your model of bike has been involved in.
However, if though your NCB won’t be affected, an insurer will still take into account the number of claims you have been involved in before they calculate their premium.
So your NCB will add a discount to your premium but your premium may still rise if you have claimed.
Unfortunately the answer is no. Nor can you transfer your car NCB to your motorbike.
It’s really frustrating, as the insurers seem to have it all their own way. They want you to declare any points you have received, even though they may not have been clocked up in the type of vehicle you’re trying to insure. Also, an insurer will want to know what accidents or thefts you’ve had, again even if they aren’t related to the vehicle you’re insuring.
The only consolation is that if you do have a decent NCD on your car and want to transfer it to your motorbike, even though you can’t there’s a good chance you’ll build your bike NCD just as quickly.
The same NCB can’t be used on two vehicles at the same time. However if you have two bikes, let’s say a scooter and a motorbike and each has its own policy, then you are building up two different sets of No Claims Discounts. In this case, you can apply one to one bike and the other to another bike.
Unfortunately, this is another area where the insurer wins. If you have had a car accident, you will need to declare this on your motorbike quote form and vice versa.
It’s annoying, as the insurer won’t recognise any NCB you build up on your bike if you want to transfer it to your car but they do want to know about the claims you’ve had.
You must declare any accidents for any vehicles you have been insured on.
For most insurers, they’ll only accept your NCB if it’s under two years old. However some insurers now accept an NCB if it’s under three years old.
If you have built up your motorbike NCD and have 5 years away from riding but have kept up your car driving and your car NCD, this won’t affect the situation and your bike NCD will have expired.
A good tip to keep your motorbike NCB valid is to buy a very cheap motorcycle (think CG125) and keep it insured. It’ll cost you next to nothing, no doubt prove a useful bit of transport and will even give you a little bit of the biking buzz you’re after. If you have 9 year’s NCD and therefore more than 75% discount on your insurance, the cost of a CG125 to buy, run and insure will be far cheaper than the excess you’ll need to pay to insure a bigger bike with zero NCD.
If you’ve lived abroad and have built up a No Claims Bonus, the chances are your UK insurer will accept it. The NCD will have to be supplied on printer letter-headed paper and written in English. If the country supplying your No Claims Bonus is European, then the chances of it being accepted are far greater than a country outside of the EU. Check with your insurer before you take out a policy as the policy will be void if you cannot supply the correct proof.
Yes, your NCB is about your driving history and not which type of cover you choose. If you have been building your NCB on a TPF&T policy and you want to choose Fully Comprehensive when you renew your insurance, your NCB won’t be affected.
If you’ve bought a motorcycle and you don’t yet have a licence to ride it, you can still insure it. However that insurance won’t cover you to ride on the road.
You might be better off considering insurance like Laid Up Motorbike Insurance. This covers your motorbike or scooter for Fire and Theft, meaning you can keep it safely tucked up and know that should the worst happen, it’s covered.
Lay up insurance will be cheaper than a regular policy as it won’t factor in the risk of riding on the road.
Yes you can. You’re best off looking into laid up motorcycle insurance. However if your bike is an ornament in the house, you may be able to get it covered on some house insurance policies.
You can buy a motorbike without an insurance policy that covers you to ride it. You might do this in preparation for when you pass your test – you’ll then have a bike ready to ride. You might buy a bike as an investment or as a gift for someone else and in all of these cases, you don’t legally have to have an insurance policy to cover the bike.
If you carry a pillion and you don’t have pillion cover, then you won’t be covered by your insurance policy, it will be void.
Insurers will include pillion cover by default but the brokers and price comparison websites will try and get you to opt-out if you won’t need pillion cover so that they can provide you with a cheaper quote.
You may find, when comparing quotes, that some policies have pillion cover as standard and others will ask you if you want to opt-out.
Not having pillion cover doesn’t mean you can carry a pillion and in the event of an accident, they won’t be covered – it means your whole policy will be invalid.
Removing pillion cover alters the average policy by around £30 per year.