[Jaggu]

Originally Posted by ghodlur

NCB for is eligible for every claim free year and stays with the owner not with the car.

And it is valid for 3 years once issued. My only doubt is will they issue it for an expired policy, especially when the car is still with the same ownership. Won't the company expect it to be renewed. If not everyone who wants to by a new car and has a second car with NCB, would want to transfer it to the new car, which would always save good amount of money?

[ghodlur]

Originally Posted by Jaggu

And it is valid for 3 years once issued. My only doubt is will they issue it for an expired policy, especially when the car is still with the same ownership. Won't the company expect it to be renewed. If not everyone who wants to by a new car and has a second car with NCB, would want to transfer it to the new car, which would always save good amount of money?

Yes Jaggu, every Insurance co would want to ensure that the Insurance policy is always available on the car but this would not stop them from confirming the NCB eligible for the claim free years. Pls note that the Insurance co would only endorse the NCB and not certify them with a certificate. So even if the policy has expired, the owner has NCB applicable credited which he can use to his advantage either for new car for continuing for the old car. There is no way an Insurance co can force any owner to use the NCB on the old car only.

[ptushar]

A quick question. I am given to understand that the NCB transfer can happen only on the same class of the vehicle. Now my understanding is that, this means that I can transfer my NCB from an LMV to another LMV. However an agent told me that if I get an NCB for a car (Getz / i10 in my case), I cannot transfer it to an MUV (like XUV for Hexa). Is this true?

I am planning to sell my Getz and transfer the NCB to the Hexa or the XUV. Can this be done?

[sukiwa]

Originally Posted by ptushar

I am planning to sell my Getz and transfer the NCB to the Hexa or the XUV. Can this be done?

This should be doable unless rules have changed recently. Have transferred NCB from Santro to Innova in 2013, insurance company was same (Bajaj) for both cars so less hassles.

[ghodlur]

Originally Posted by ptushar

I am given to understand that the NCB transfer can happen only on the same class of the vehicle.
I am planning to sell my Getz and transfer the NCB to the Hexa or the XUV. Can this be done?

The rule says that the NCB can be used for buying insurance for the same class of vehicle. But this rule has been severely distorted and twisted by Insurance co to their own advantage in the pursuit for premiums. Accordingly the rule now means that you can use NCB for LMV's and not for other class such as Bus, truck etc and everything other than LMV.

You can use your Getz NCB for buying the Hexa/XUV without any pinch of doubt. Insurance co do not bother as long as they get their revenue.

Originally Posted by ptushar

However an agent told me that if I get an NCB for a car (Getz / i10 in my case), I cannot transfer it to an MUV (like XUV for Hexa). Is this true?

False. As you rightly pointed out, here the category of the vehicle is LMV; hatchback or sedan or MUV or SUV doesn't matter.

I am planning to sell my Getz and transfer the NCB to the Hexa or the XUV. Can this be done?

I too did the same, when I sold my erstwhile Linea and bought XUV 500.

Originally Posted by J.Ravi

I arranged for insurance on my own by paying ₹ 21,356 as I enjoy 50% no-claim bonus.

Originally Posted by J.Ravi

It is possible. I have been enjoying 50% NCB since many years from my Versa to Linea to XUV 500. Just before buying XUV 500, I surrendered the comprehensive insurance of my erstwhile Linea to Oriental Insurance, converted to the third party and obtained a certificate that was valid for 3 years from the date of issue. Later, used that certificate and obtained comprehensive insurance from the same Oriental Insurance for my new XUV 500 in Dec 2013, while using Linea with the third party insurance until Feb 2014, when I sold Linea. The same procedure was followed by me when I bought Linea and sold Versa later.

[ptushar]

Originally Posted by ghodlur

You can use your Getz NCB for buying the Hexa/XUV without any pinch of doubt. Insurance co do not bother as long as they get their revenue.

Originally Posted by J.Ravi

It is possible.

I surrendered the comprehensive insurance of my erstwhile Linea to Oriental Insurance, converted to the third party and obtained a certificate that was valid for 3 years from the date of issue.

Thanks ghodlur & J.Ravi.
In fact, I like the approach to surrender the comprehensive and convert to third party. That way I will get the NCB certificate well before I buy the Hexa / XUV and use this right away, instead of waiting for my car to be sold. I am planning to see my car to Cars24

[ghodlur]

Originally Posted by ptushar

In fact, I like the approach to surrender the comprehensive and convert to third party. That way I will get the NCB certificate well before I buy the Hexa / XUV and use this right away, instead of waiting for my car to be sold. I am planning to see my car to Cars24

In your case it wont be necessary as the Getz will be sold before you buy the new car isn't it? When you sell off the Getz, you can get the NCB certificate and use it to buy Insurance for new car.

No point in converting the Comprehensive insurance of Getz to TPL only unless the renewal is due.

[ptushar]

Originally Posted by ghodlur

In your case it wont be necessary as the Getz will be sold before you buy the new car isn't it? When you sell off the Getz, you can get the NCB certificate and use it to buy Insurance for new car.

No point in converting the Comprehensive insurance of Getz to TPL only unless the renewal is due.

Actually I am planning to sell to a dealer. Now what I understood from this forum is that for getting an NCB, you need to first get the new registration card. But since I am selling to a dealer, I will need to wait till the dealer is able to make the sale from his end. Hence I thought it is better to go through the route of converting to Third arty and and get the NCB. Hopefully, this should not affect my sale price by more than a few thousands at the max.

[ghodlur]

Originally Posted by ptushar

Actually I am planning to sell to a dealer. Now what I understood from this forum is that for getting an NCB, you need to first get the new registration card. But since I am selling to a dealer, I will need to wait till the dealer is able to make the sale from his end. Hence I thought it is better to go through the route of converting to Third arty and and get the NCB. Hopefully, this should not affect my sale price by more than a few thousands at the max.

I doubt if the Insurance co will provide you the NCB certificate for converting from Comprehensive to TPL only insurance. They will need proof of ownership change for the NCB certificate. At the max they may endorse your application with the applicable NCB which of course you can use to buy insurance for new car.

How will you ensure no liabilities on your old car when handed over to the dealer? Is there any No liability agreement entered between you and the dealer to absolve your liability on the sold car? I am curious to know this part. Unless the dealer sells your car, your name will be on the RC isn't it? People who have done this dealing can throw some light here.

[Lij]

Noob questions -

If I need to get the NCB certificate from my old car insurance do I need to cancel that insurance? In this case I was told that I'll get a pro-rata refund on my own damage premium and third party will lapse.

If I need to cancel the insurance then in Form 29 and 30 (transfer of ownership forms) should I just strike out the parts which mention about Insurance Certificate handed to buyer?

I understand the best option is to cancel my existing comprehensive insurance, get the NCB certificate and buy a third party only insurance.

Also the new car insurance is already done by the dealer (almost matching my outside quote), on checking with the new car insurance firm they said that the NCB certificate needs to be given to the dealer and not at the insurance company branch and then dealer would issue me the refund cheque, is this correct?

Please advise.

[ghodlur]

Originally Posted by Lij

If I need to get the NCB certificate from my old car insurance do I need to cancel that insurance? In this case I was told that I'll get a pro-rata refund on my own damage premium and third party will lapse.

Not necessarily required to cancel the Insurance. If you are selling the car, then Insurance is a must for the car ownership being transferred. You can get the NCb certificate form Insurance co if you provide the proof of ownership change.

If I need to cancel the insurance then in Form 29 and 30 (transfer of ownership forms) should I just strike out the parts which mention about Insurance Certificate handed to buyer?

As said above if you are changing the ownership of the car, then valid Insurance document is a must.

I understand the best option is to cancel my existing comprehensive insurance, get the NCB certificate and buy a third party only insurance.

If the Car Insurance is expiring then yes, you can opt for only TPL cover for the car. If the car is being sold mid year of the policy, then I would suggest not to change the Comprehensive coverage if sold to an individual. If sold to a dealer, yes, you could change the coverage to TPL only.

Also the new car insurance is already done by the dealer (almost matching my outside quote), on checking with the new car insurance firm they said that the NCB certificate needs to be given to the dealer and not at the insurance company branch and then dealer would issue me the refund cheque, is this correct?

Since the Insurance is already done for the new car, the NCB certificate can has to be given to the dealer who can then refund the amount to you. The dealer himself would claim the discount from the Insurance co itself. So either you claim the refund now which will be a higher amount or you can use the NCB certificate during the renewal after one year which will be lesser amount.

I really doubt whether the Insurance co will give you the NCB certificate on the basis of you selling the car to the dealer. They would need the changed ownership proof (RC change) before they can issue the NCB certificate and the ownership change would depend on the dealer by when he can resell the car and proceed with the ownership change.

Please note delivery note is not accepted as the proof of ownership change.

[Lij]

Originally Posted by ghodlur

....
If the Car Insurance is expiring then yes, you can opt for only TPL cover for the car. If the car is being sold mid year of the policy, then I would suggest not to change the Comprehensive coverage if sold to an individual. If sold to a dealer, yes, you could change the coverage to TPL only.

....
I really doubt whether the Insurance co will give you the NCB certificate on the basis of you selling the car to the dealer. They would need the changed ownership proof (RC change) before they can issue the NCB certificate and the ownership change would depend on the dealer by when he can resell the car and proceed with the ownership change.

Please note delivery note is not accepted as the proof of ownership change.

Thanks ghodlur!!

Yeah my insurance is currently in mid year, so as you suggested I'll continue with the comprehensive coverage and get the NCB certificate. As I am selling my old car to a friend so I can get the NCB certificate from the insurance company after RC change.

[IndigoXLGrandDi]

If an Insurer asks to pay Prorated amount for issue of NCB Certificate, what is the point in transferring NCB from one car to another? Or am I missing something?

Edit:-
I would not like to keep paying the previous insurer the prorated amount for issue of NCB Certificate if I change the Insurer (might be every year).
Hence above query.

[ghodlur]

Originally Posted by IndigoXLGrandDi

If an Insurer asks to pay Prorated amount for issue of NCB Certificate, what is the point in transferring NCB from one car to another? Or am I missing something?

Since the NCB claimed is included in the policy document valid for the policy period, any transaction of the car related to sale if it happens mid year, then the Insurance co will recover from you the NCB amount already claimed by you on pro rata basis. So the point in transferring the NCB from one car to another is use the NCB eligible to save the money on the Insurance of the new car.

If you are just changing the Insurance co every year for the same car then you do not need the NCB certificate, only NCB endorsement is more that sufficient.