Quizzes & Puzzles6 mins ago
No claims
If someone has 28years no claims bonus is that automatically protected? so for example if I'm on my parents car insurance as the third named driver and have to claim on the insurance and will they loose that bonus?! Even if it is protected if i claim will they loose 28years of no claims!
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For more on marking an answer as the "Best Answer", please visit our FAQ.Firstly, most insurers only recognise 5 or 6 years of no claims - some may recognise a bit more, but not 28!
Secondly, the bonus is only protected if the policyholder has requested it, and paid an extra premium (normally between 5 - 10 %)
Thirdly, if the bonus is protected and a claim is made against the policy, then only a 'life' is lost - but the discount off the premium remains the same - as long as they renew with the same insurer. Some companies will transfer the bonus, but the choice is limited on the open market.
Hope this makes sense - it does to me, but I've worked in insurance for about 18 years!
Secondly, the bonus is only protected if the policyholder has requested it, and paid an extra premium (normally between 5 - 10 %)
Thirdly, if the bonus is protected and a claim is made against the policy, then only a 'life' is lost - but the discount off the premium remains the same - as long as they renew with the same insurer. Some companies will transfer the bonus, but the choice is limited on the open market.
Hope this makes sense - it does to me, but I've worked in insurance for about 18 years!