No-claims bonus
A no-claims bonus (NCB) is a discount on your insurance premium for each consecutive year you have held a policy without making a claim. It is most commonly associated with motor insurance in the UK and Australia. Also called no-claims discount (NCD) or claims-free discount.
How NCB works
Each year without a claim adds to your NCB discount — commonly up to a maximum of 5 years (60–70% discount depending on the insurer). Making a claim typically reduces your NCB by 2 years. NCB is portable: when you switch insurer, you provide your NCB certificate (issued by your previous insurer) to claim the discount.
NCB protection is an optional add-on that allows you to make a specified number of claims (usually 1–2 per year) without losing your bonus. For a full explanation of how to earn, protect, and transfer NCB, see our no-claims bonus guide.