ARTICLE: No Claim Bonus - How to save on your insurance premiums!

[shijanto4]

Originally Posted by Irish

Hi Experts,

I've got my TATA Safari 2.2 transferred in my name from my Brother in law. New RC has also been provided by RTO.

Please advise if the NCB of existing policy (from Universal Sompo) can be transferred / used during the upcoming policy renewal (in May 2018)? As per Policy Bazar customer care, this can only be availed after 12 months of policy transfer.

Please advise.

Cheers!
Irish

Here, Policy Bazar customer care may be wrong. From all the info available, across insurance companies, NCB is not transferable from an individual to another, expect only in case of individual's death and the subsequent transfer to his/her heir. So, as far as I am aware, the 12-month wait doesn't seem to be true. Thanks.

[ajay99]

Originally Posted by Irish

Hi Experts,

I've got my TATA Safari 2.2 transferred in my name from my Brother in law. New RC has also been provided by RTO.

Please advise if the NCB of existing policy (from Universal Sompo) can be transferred / used during the upcoming policy renewal (in May 2018)? As per Policy Bazar customer care, this can only be availed after 12 months of policy transfer.

Please advise.

Cheers!
Irish

NCB cannot be transferred to another person only exception being inheritance. Your brother can use that NCB for any car he owns currently or which he buys within a period of 36 months

[tharian]

Regarding claiming the NCB during the first year renewal.

I have the 50% NCB certificate of my previous car, which I exchanged at Ford. The insurance of the new car was done with the showroom and for some reason I couldn't use the NCB then.
The renewal is coming up and there is a 20% NCB on the new car for the first year. So is it right that the maximum I can get is 50% which is 20% from the new car and 30% from the old car? Also does it differ depending on the type of insurance?

[prsnck]

Team,

Slightly off-topic; but about insurance transfer. Please help.

I had purchased a second-hand car and transferred RC to my name couple of months back. Insurance is third party and is still on previous owner name.

As i heard from a reliable agent in insurance company third party insurance can be changed (they call it as endorse) - at any point of time once RC is transferred to new owner of car. Does any one aware the procedures to transfer the third party insure to new buyer name. Are there any charges to be paid.


Thanks
Prsn

[Lobogris]

Originally Posted by prsnck

Team,

Slightly off-topic; but about insurance transfer. Please help.

I had purchased a second-hand car and transferred RC to my name couple of months back. Insurance is third party and is still on previous owner name.

As i heard from a reliable agent in insurance company third party insurance can be changed (they call it as endorse) - at any point of time once RC is transferred to new owner of car. Does any one aware the procedures to transfer the third party insure to new buyer name. Are there any charges to be paid.


Thanks
Prsn

It is quite simple. You have to contact the insurance company that issued the existing policy. It would be better to contact the same office and even the same agent if possible. I recently had the insurance transferred on my Passat to my name. All I paid was Rs 210 for inspection (not needed for third party) and around Rs 100 for transfer charges. It took just a few hours. You might be asked for an authorization to transfer the insurance from the previous owner. I wasn't asked but the dealer had given me a form signed by the previous owner authorizing the insurance company to transfer the insurance policy.

[ajay99]

Originally Posted by prsnck

Team,

Slightly off-topic; but about insurance transfer. Please help.

I had purchased a second-hand car and transferred RC to my name couple of months back. Insurance is third party and is still on previous owner name.

As i heard from a reliable agent in insurance company third party insurance can be changed (they call it as endorse) - at any point of time once RC is transferred to new owner of car. Does any one aware the procedures to transfer the third party insure to new buyer name. Are there any charges to be paid.


Thanks
Prsn

It is very simple,since it is TP policy.You just go to any insurance company(preferably PSU) with a copy of the RC and the original insurance certificate and they will endorse your name in the policy .Transfer charges is Rs.61/-
.

[shijanto4]

Originally Posted by tharian

Regarding claiming the NCB during the first year renewal.

I have the 50% NCB certificate of my previous car, which I exchanged at Ford. The insurance of the new car was done with the showroom and for some reason I couldn't use the NCB then.
The renewal is coming up and there is a 20% NCB on the new car for the first year. So is it right that the maximum I can get is 50% which is 20% from the new car and 30% from the old car? Also does it differ depending on the type of insurance?

You can either use your old car's 50% NCB or (if you wish to forgo that) then the new car's 20% NCB. They wouldn't calculate 20% from the new car and remaining 30% from the old car. In case you submit your old car's NCB certificate, you get the full 50% NCB discount, which is what I believe you should be doing to get the maximum benefit. Note: Your old car's NCB certificate is valid for a period of 3 years from the date of issue, so holding it further without using may not be a wise idea, as your new car's IDV/premium keeps decreasing year on year. Good luck!

[tharian]

Originally Posted by shijanto4

You can either use your old car's 50% NCB or (if you wish to forgo that) then the new car's 20% NCB. They wouldn't calculate 20% from the new car and remaining 30% from the old car. In case you submit your old car's NCB certificate, you get the full 50% NCB discount, which is what I believe you should be doing to get the maximum benefit. Note: Your old car's NCB certificate is valid for a period of 3 years from the date of issue, so holding it further without using may not be a wise idea, as your new car's IDV/premium keeps decreasing year on year. Good luck!

Thank you.
So 50% NCB means I pay half the premium that is quoted for the second year insurance? And that is regardless of the type of insurance?

[panky12345]

Originally Posted by tharian

Thank you.
So 50% NCB means I pay half the premium that is quoted for the second year insurance? And that is regardless of the type of insurance?

NCB would be applicable only on OD premium amount. Its valid only on comprehensive insurance and not on TP alone.

[prsnck]

Originally Posted by Lobogris

It is quite simple. You have to contact the insurance company that issued the existing policy. It would be better to contact the same office and even the same agent if possible. I recently had the insurance transferred on my Passat to my name. All I paid was Rs 210 for inspection (not needed for third party) and around Rs 100 for transfer charges. It took just a few hours. You might be asked for an authorization to transfer the insurance from the previous owner. I wasn't asked but the dealer had given me a form signed by the previous owner authorizing the insurance company to transfer the insurance policy.

Lobogris, thanks for the info. I asked over phone the same office - they mentioned bring updated original RC and original of Insurance. And yes mine is third party. I am yet to get previous owner authorization to transfer, let me try my luck. I will plan to do it coming Friday - I will keep you posted if it was through. Only catch is RC transfer was done in Feb 2018, hope its fine.

[prsnck]

Originally Posted by ajay99

It is very simple,since it is TP policy.You just go to any insurance company(preferably PSU) with a copy of the RC and the original insurance certificate and they will endorse your name in the policy .Transfer charges is Rs.61/-
.

Thanks Ajay, will try do it this week. Its United India Insurance; are they open on Saturday. Will update once its through.

[civic-sense]

I never thought it would happen, but I managed to transfer my NCB (45%) from my existing car to my new car without selling or transferring the vehicle. The only compromise I had to make was to go with the same insurance company (HDFC ERGO).

I had to pay the difference in NCB prorated for the remaining days and the premium for the new car, and they sent me the cover note the next day. The whole process was done without me going to their office or filling any forms - but only phone, email and whatsapp.

If you have to go with a different insurer for the new car (dealer tie up), you would be issued an NCB certificate in a few days, which you have to present to the new insurer and claim NCB.

Even if you are in a hurry, and can't wait for the certificate, you can go ahead with the new insurance paying the full amount, and when the certificate arrives, you can submit it to the new insurer and get the NCB refunded.

[shijanto4]

Originally Posted by tharian

Thank you.
So 50% NCB means I pay half the premium that is quoted for the second year insurance? And that is regardless of the type of insurance?

Sorry, for the delayed reply. We can use NCB only on the basic own damage component mentioned in the policy and not on the third party component, so the premium won't be exactly half after NCB inclusion, but can expect a decrease of about 30-40% in the overall premium depending on the OD they have quoted. Yes, this applies to comprehensive policies of all insurance companies. Thanks.

[suhasark]

Hello Experts,

I bought a new car last year (Honda Brio) and went with dealer insurance(Honda Assure + Baja Allianz) for the same with no NCB applied. It is due for renewal now.

Last year after buying the Brio , I sold another car(Chevy Spark) that had accumulated 50% NCB and got the NCB certificate valid for 3 years from United India Insurance.

Today I went to the same United India Office to renew the Brio insurance and also presented the 50% NCB letter. The person in-charge there listened to me and started entering the details on his system. He also called another person - apparently an "Advisor" and told him about my case. The "Advisor" spoke to me and told me that NCB transfer can only be when buying a new vehicle and that I should have used it when I bought the car. I argued saying it is not the case and both the United India person and the "Advisor" refused to budge saying a NCB certificate can only be used when buying a new car. I am almost sure that this is not the case , so need inputs from the community if my argument is correct and whom to approach to get this sorted.

Alternatively , I can try the other insurers (private online ones) if they accept the NCB letter/certificate from United India. If I buy online , what is the procedure to share my 50% NCB letter ?

The United Insurance office that I visited is a Micro Service office in Bilekahalli , Bannerghatta Road, Bangalore.

Thanks
Suhas

[shijanto4]

Originally Posted by suhasark

Hello Experts,

I bought a new car last year (Honda Brio) and went with dealer insurance(Honda Assure + Baja Allianz) for the same with no NCB applied. It is due for renewal now.

Last year after buying the Brio , I sold another car(Chevy Spark) that had accumulated 50% NCB and got the NCB certificate valid for 3 years from United India Insurance.

Today I went to the same United India Office to renew the Brio insurance and also presented the 50% NCB letter. The person in-charge there listened to me and started entering the details on his system. He also called another person - apparently an "Advisor" and told him about my case. The "Advisor" spoke to me and told me that NCB transfer can only be when buying a new vehicle and that I should have used it when I bought the car. I argued saying it is not the case and both the United India person and the "Advisor" refused to budge saying a NCB certificate can only be used when buying a new car. I am almost sure that this is not the case , so need inputs from the community if my argument is correct and whom to approach to get this sorted.

Alternatively , I can try the other insurers (private online ones) if they accept the NCB letter/certificate from United India. If I buy online , what is the procedure to share my 50% NCB letter ?

The United Insurance office that I visited is a Micro Service office in Bilekahalli , Bannerghatta Road, Bangalore.

Thanks
Suhas

Hi Suhas,

From my experience and knowledge, a valid NCB certificate can be used at the time of renewal of an insurance policy irrespective of whether the car is new or was already purchased. I understand that your new car was bought last year and this is the first renewal. There is no reason here for United India to refuse inclusion of your NCB. From your explanation, it looks like the two guys you contacted in that micro office are either unaware of the correct process or they are just being lazy to assist you. It's worth checking with their main/head office if you are keen on continuing only with them. Otherwise, other insurance companies would be more than willing to renew your policy with the NCB included. Whichever insurance company you approach, just make it very clear that you have a 50% valid NCB certificate that you want included before making any payment towards the premium. Documents you will need for this are 1) Copy of your old insurance policy, 2) Original NCB certificate, 3) Copy of RC, and 4) Copy of your photo ID proof (some will insist only Aadhar). All these documents should have your exact same name. Also, some insurance companies would ask for a canceled cheque leaf and a copy of your DL. Canceled cheque leaf is only to credit your NCB amount later (maximum 14 working days from the date of renewal) in case they say new policy has to be issued first for inclusion of the NCB. In this case, please ensure whomever you are talking to is clear and reliable in refunding the NCB amount after the policy is issued.
Hope this helps.

Thanks.