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Old 5th November 2012, 18:45   #421
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Default Re: ARTICLE: No Claim Bonus - How to save on your insurance premiums!

I have a Scorpio in my name, for which I'm enjoying a 50% NCB on my policy with New India Assurance. I bought my XUV in aug for which I bought insurance from United India [dealer supplied] by paying full premium.
I have no plans of selling the Scorpio but would like to transfer my existing 50% premium to my XUV [for obviously greater savings].

A little bit of trawling on the net brought me to this article:
http://www.livemint.com/Money/BhDF5j...nsferable.html
In that the author states:
Scenario II: If you retain the existing vehicle and purchase a new vehicle, then you should state your intention to transfer the no-claim bonus from the old vehicle to the new one, and the bonus allowed on the unexpired period of insurance of the old vehicle will be collected back from you in cash or cheque, as per the ‘Indian Motor Tariff’.

Problem is New India has stated that unless the Scorpio is sold, I can't get a NCB certificate.
Now, I can't possibly take a livemint.com article to them asking them to change their stand.
So I was wondering if anyone themselves or knowing someone in insurance industry has access to any official directive that cannot be dismissed easily. If anyone does, it'll be a great help to everyone here who's paying higher premiums for bought-later costlier cars.
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Old 5th November 2012, 18:58   #422
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Default Re: ARTICLE: No Claim Bonus - How to save on your insurance premiums!

Quote:
Originally Posted by kaiserketkar View Post
If you retain the existing vehicle and purchase a new vehicle, then you should state your intention to transfer the no-claim bonus from the old vehicle to the new one, and the bonus allowed on the unexpired period of insurance of the old vehicle will be collected back from you in cash or cheque, as per the ‘Indian Motor Tariff’.
Problem is New India has stated that unless the Scorpio is sold, I can't get a NCB certificate.
A similar scenario for me too.
The New India Insurance Executive says that even if I sell my vehicle, I would still need to 'pay-back' the bonus received on the unexpired period of insurance.
Is this a scam? I never had to 'pay-back' when I was issued a no-claim bonus certificate from Oriental Insurance during my previous car purchase (under exchange).
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Old 5th November 2012, 22:27   #423
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Default Re: ARTICLE: No Claim Bonus - How to save on your insurance premiums!

Quote:
Originally Posted by kaiserketkar View Post
I have a Scorpio in my name, for which I'm enjoying a 50% NCB on my policy with New India Assurance. I bought my XUV
Scenario II: If you retain the existing vehicle and purchase a new vehicle, then you should state your intention to transfer the no-claim bonus from the old vehicle to the new one, and the bonus allowed on the unexpired period of insurance of the old vehicle will be collected back from you in cash or cheque, as per the ‘Indian Motor Tariff’.

Problem is New India has stated that unless the Scorpio is sold, I can't get a NCB certificate.
Same issue, but this time the provider was Royal Sundaram. Was told the same story - that the vehicle needs to be sold. So we took the easy way out.. "sold" the older car(zen) to my wife and got an endorsement (as has been suggested multiple times in this thread). A talk to their head office still yielded the same headless argument that a NCB can be carried over only if "Sold", they even rejected the other option mentioned in this thread about taking a new policy for the old car and getting an endorsement to be used with the new car policy. Maybe the laws are archaic...
Since I didn't have the time/patience to sift and followup on all these, so, decided to do something they knew was possible.
Of course this meant the purchase was delayed by a fortnight - while awaiting the tranfer to go through. But saved a good amount (close to 10k).

But, yes, there is either a general ignorance or a vested interest in discouraging the transfer.
In my personal experience, it has been a mixture of both - the sales executives generally are ill informed, and the insurance folks try to make it cumbersome (I guess this adds to their topline).

Quote:
Originally Posted by jinojohnt View Post
A similar scenario for me too.
The New India Insurance Executive says that even if I sell my vehicle, I would still need to 'pay-back' the bonus received on the unexpired period of insurance.
Is this a scam? I never had to 'pay-back' when I was issued a no-claim bonus certificate from Oriental Insurance during my previous car purchase (under exchange).
This is not a scam! If I understand you right you want to enjoy NCB discount on both the "old" and "new" vehicles?? To my understanding NCB is on a per policy basis (enjoyed by a person). So, NCB can be availed only on one motor vehicle.

Well, your confusion is also understandable - i.e. if NCB is a discount enjoyed by a person for having a "low probability of risk" in making a claim, then it should be uniformly applied to all vehicles owned by this person. I guess this calls for some reforms in our laws, and a fat chance we have of that happening any time soon.
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Old 6th November 2012, 05:41   #424
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Quote:
Originally Posted by whitewing
Same issue, but this time the provider was Royal Sundaram. Was told the same story - that the vehicle needs to be sold. So we took the easy way out.. "sold" the older car(zen) to my wife and got an endorsement (as has been suggested multiple times in this thread).
Aah, but you see I had tried that earlier. What we don't realize, is that the car becomes a "second owner" even if it's within the family. Cos like mahindra first choice will straight away deduct an amount like 25k from the valuation because of that. Now compare that against the savings of about 10k from the ncb.
Besides I doubt you can transfer the car if the loan is still going on.
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Old 6th November 2012, 08:39   #425
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For renewal of my car insurance, as usual many companies approached me. HDFC ERGO quoted the lowest and I took theirs. Now after 3 weeks, they are sending me a letter stating that I am not entitled NCB and should pay the NCB amount of Rs 3727/ . Guys, this seems to be another trick of them. First to make me take the insurance and then this. Never heard something like this.
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Old 6th November 2012, 08:57   #426
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Default Re: ARTICLE: No Claim Bonus - How to save on your insurance premiums!

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Originally Posted by whitewing View Post
This is not a scam! If I understand you right you want to enjoy NCB discount on both the "old" and "new" vehicles?? To my understanding NCB is on a per policy basis (enjoyed by a person). So, NCB can be availed only on one motor vehicle.
Let me rephrase my question:
1. I have a valid comprehensive insurance from Jan to Dec (with 50% no claim bonus).
2. Half way through the year, i.e, in June, I sell my car (exchange) and buy a new car.
3. For my new car bought in June, I am entitled for 50% no claim bonus.
4. I am not getting any refund of my insurance premium for July to Dec for my old car, even if I have sold my old car in June.
5. Why should I pay additional amount in the name of 'unused no-claim' for July to Dec for my old car? I am anyway losing my Premium for July to Dec.

I have sold two cars in the recent past (both insured at Oriental Insurance), and never had to pay such a 'fine'.
But New India Insurance is asking for this 'fine' amount, which I think is not fair.
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Old 6th November 2012, 08:59   #427
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Red face Re: ARTICLE: No Claim Bonus - How to save on your insurance premiums!

Quote:
Originally Posted by Rameshdude View Post
Now after 3 weeks, they are sending me a letter stating that I am not entitled NCB and should pay the NCB amount of Rs 3727/
What reason was given by HDFC for the NCB non entitlement? Had you got a quote with the breakup where they must have shown the NCB amount too? You can revert with the break up. Also if you have changed the Insurers then you should be having the NCB letter from the previous insurer.
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Old 6th November 2012, 13:52   #428
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Default Re: ARTICLE: No Claim Bonus - How to save on your insurance premiums!

Quote:
Originally Posted by jinojohnt View Post
Let me rephrase my question:

4. I am not getting any refund of my insurance premium for July to Dec for my old car, even if I have sold my old car in June.
Insurance is also sold with the car. The buyer will enjoy this.

Quote:
Originally Posted by jinojohnt View Post
5. Why should I pay additional amount in the name of 'unused no-claim' for July to Dec for my old car? I am anyway losing my Premium for July to Dec.
Usually this will have to be paid by the buyer of the old car and not by you. He will anyways be asked to pay by the insurer as he cannot enjoy your NCB.
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Old 7th November 2012, 20:52   #429
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Default Re: ARTICLE: No Claim Bonus - How to save on your insurance premiums!

Quote:
Originally Posted by kaiserketkar View Post
Aah, but you see I had tried that earlier. What we don't realize, is that the car becomes a "second owner" even if it's within the family. Cos like mahindra first choice will straight away deduct an amount like 25k from the valuation because of that. Now compare that against the savings of about 10k from the ncb.
Besides I doubt you can transfer the car if the loan is still going on.
Yes good point, but that depends on what we plan to do with the vehicle.
I've got no plans of selling the old one for another couple of years. And second owner for a car that is close to a decade would not matter much. Also if I manage a local sale, I don't think it will be a significant issue, apart from coming up during the negotiation procees - as would the level of wear on the tires.

More importantly, the first year's saving is ~10k, next year it will be around 5k and so on, so at the end of 5 years one would have saved around 20k. This by just taking the additive saving not including interest etc.

Yes, transfer of the car would mean removing the hypothecation – but I am on unfamiliar terrain on this since buying a car (depreciatable) on credit is not worth it IMHO




Quote:
Originally Posted by jinojohnt View Post
2. Half way through the year, i.e, in June, I sell my car (exchange) and buy a new car.
3. For my new car bought in June, I am entitled for 50% no claim bonus.
Only if you are transferring the NCB from the old to new. i.e the old will no longer enjoy 50% NCB

Quote:
Originally Posted by jinojohnt View Post
4. I am not getting any refund of my insurance premium for July to Dec for my old car, even if I have sold my old car in June.

I have sold two cars in the recent past (both insured at Oriental Insurance), and never had to pay such a 'fine'.
But New India Insurance is asking for this 'fine' amount, which I think is not fair.
I'm a bit puzzled, why would there be no refund if you are closing the policy? One is entitled to that. Please check again with the provider - may be call up and share your grouse with a senior person, talk in person with branch manager if you can manage the time. Or do you mean you are letting the policy continue? In which case the new car cannot get the NCB?

Quote:
Originally Posted by jinojohnt View Post
5. Why should I pay additional amount in the name of 'unused no-claim' for July to Dec for my old car? I am anyway losing my Premium for July to Dec.
You or the purchaser would only have to pay the adjusted amount on a pro-rata basis. SO essentially it is not a "fine" but more of additional premium (with the NCB discount set to 0%).
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Old 26th November 2012, 18:37   #430
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Default Re: ARTICLE: No Claim Bonus - How to save on your insurance premiums!

I sold my Fiat Palio on 14 Nov, 2012 which was insured with Royal Sundaram Insurance and had a 50% NCB. The insurance was valid till today 26 Nov, 2012. I approached Royal Sundaram with a copy of the Form 29, 30 and the Delivery Note asking for a NCB letter on my insurance. Royal Sundaram says they will release the NCB letter only after I pay the NCB Release Fee or I show the updated RC copy showing the new owner's name. Is the stance taken by the insurer correct? Especially now that insurance is also expiring today, why can they not provide me the NCB letter? I don't know how long I have to wait for the updated RC copy and how many follow ups I would need to take up with the buyer. How should I approach to resolve this issue?
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Old 27th November 2012, 08:53   #431
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Red face Re: ARTICLE: No Claim Bonus - How to save on your insurance premiums!

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Originally Posted by rknair View Post
Royal Sundaram says they will release the NCB letter only after I pay the NCB Release Fee or I show the updated RC copy showing the new owner's name
Never heard of NCB release fee. Is this mentioned somewhere on RS website or in the policy document?. Are you planning to buy a new car to use the earlier NCB, if so why not take the new Insurance policy from RS itself. Automatically the NCB would be taken care of.

Parallely you can show the receipt of the car transfer which you must have got from the RTO when you submitted the documents, this should be sufficient for RS to issue a NCB letter.
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Old 27th November 2012, 21:53   #432
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Default Re: ARTICLE: No Claim Bonus - How to save on your insurance premiums!

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Originally Posted by ghodlur View Post
Are you planning to buy a new car to use the earlier NCB, if so why not take the new Insurance policy from RS itself. Automatically the NCB would be taken care of.
I am planning a new car. The quote given by RS is Rs. 2000/- more than the lowest quote I am seeing. In fact, their quote is even more than the default insurance given by the dealer.

Quote:
Originally Posted by ghodlur View Post
Parallely you can show the receipt of the car transfer which you must have got from the RTO when you submitted the documents, this should be sufficient for RS to issue a NCB letter.
Again this has to be done by the buyer since the originals are with him. Following up with him.
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Old 28th November 2012, 05:10   #433
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Quote:
Originally Posted by rknair

I am planning a new car. The quote given by RS is Rs. 2000/- more than the lowest quote I am seeing. In fact, their quote is even more than the default insurance given by the dealer.

Again this has to be done by the buyer since the originals are with him. Following up with him.
Although I've never heard of anything called the ncb release fee, if you can't fight it then you should be consider which is more- the fee or the 2k extra you have to pay if you renew with RS. Also if their quote is higher than the dealers quote, then I'm sure you'll be able to negotiate with them further. Try contacting the company directly thru their website for a fresh quote.
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Old 28th November 2012, 08:20   #434
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Quote:
Originally Posted by rknair View Post
I am planning a new car. The quote given by RS is Rs. 2000/- more than the lowest quote I am seeing. In fact, their quote is even more than the default insurance given by the dealer.
Again this is a bullying tactic by RS. I assume you already have done the comparo of the Insurance premiums for your new car with quotes by different Insurers either online or offline. I would suggest buy Insurance yourselves (taking care of which Insurer has a cashless tie up with the workshop of the car brand you intend to buy). Most of the Insurers do provide the option of allowing the NCB to carry forward with just the Insurance policy no and previous Insurer's name to be provided to claim the NCB.
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Old 3rd December 2012, 09:46   #435
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Default Re: ARTICLE: No Claim Bonus - How to save on your insurance premiums!

I own a 10 year old santro which is on 50% NCB with national insurance.
I am not very fond of national insurance and their facilities.
Can I take the no claim bonus from national and use it for any other cashless insurance company on my new car?

My bike has moved from comprehensive to third party insurance. I dont know how it happened. Is it because its more than 14 years old?
In that case what happened to my NCB? Can i still try and get the certificate and use for buying my bullet? I know insurance on bikes are not that expensive but just checking.
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