Car insurance renewal: Is No Claim Bonus a worthy add-on

I'm planning to switch from HDFC Ergo to ACKO insurance for my Volkswagen Polo.

BHPian safe_rider recently shared this with other enthusiasts.

Howdy!

My Polo 2021 is insured by HDFC Ergo and I made a single claim to repair the rear bumper. The claim is settled now, and all is good. Now, it's time for me to renew the policy, and I would need your help in clarifying the below:

• Car was purchased in Jan 2021.
• The insurance policy has NCB protection and I made a single claim until Jan 2022.
• Now, I'm planning to go for ACKO insurance and I see a question 'Did you make a claim in the last policy period?' - Should I select 'Yes' and lose 20% or should I select 'No' since I have NCB protection in my current policy.
• As per ACKO customer care representative, the NCB protection is valid only if I renew the policy with the same Insurance company and NCB protection will not protect me if I renew the policy with another insurance company.

Can someone help me to understand?

Here's what BHPian headers had to say about the matter:

Even a single claim does not entitle one to an NCB - No Claim Bonus!

One can change insurance companies online but it does not save much. NCB transfers are possible if the exiting insurance companies' policy stating your NCB is treated by the new insurance company as an acceptable document.

Hope that clarifies.

Here's what BHPian neeraj0272 had to say about the matter:

According to me, your earlier insurance provider shall provide an NCB certificate to you stating that you are entitled to whatever NCB you are entitled to. Please let us know whether HDFC Ergo provides you with this certificate after you have made a claim? If not then that means that the NCB Protection plan is insurance company dependent and we will lose this protection if we change insurance company after a claim like in your case.

I am interested in knowing this as my NCB is 65% and I, invariably, take the NCB Protection add-on.

I think you should consult an insurance agent.

Here's what BHPian itwasntme had to say about the matter:

You are heading towards making false claims about your current claim status.

Please note that ACKO will not honour any NCB during actual claim time. Insurance companies have a shared database about such things.

Here's what BHPian adisan had to say about the matter:

From basic research, it seems to be a standard clause with other insurers also.

So the question is, which option works out cheaper?

If continuing with your current insurer, you will get the NCB discount. What is the total premium with all your add-ons?

versus

If you choose a new insurer, NCB will likely be 0. What is the total premium with all your add-ons?

Other factors like ease of claim process, effectiveness of RSA, etc. should also be considered before deciding.

Check out BHPian comments for more insights and information.