How No-Claim Bonus (NCB) Affects Your Bike Insurance Renewal Cost?
Riding a bike gives you a sense of freedom. It’s quick, efficient, and undeniably thrilling. But along with the freedom comes responsibility, and part of that responsibility involves protecting yourself and your two-wheeler with a suitable insurance policy. If you’ve been riding safely and haven’t made any claims during your policy period, you may find a benefit during your bike insurance renewal. This is the No-Claim Bonus (NCB), a feature that can offer potential savings on your premium cost.
Let’s explore how this bonus works and why it is crucial in reducing the cost of your bike insurance online.
What Is No-Claim Bonus (NCB) in Bike Insurance?
A No-Claim Bonus (NCB) is a reward that your insurance provider offers you for being a safe and responsible rider. If you don’t make any claims during your policy tenure, you earn an NCB, which is a savings on the premium amount when you renew your bike insurance.
These savings apply specifically to the Own Damage (OD) component of your premium, not the third-party liability. The bonus increases every consecutive claim-free year and can reach up to 50% over five years. It’s like your insurer giving you a pat on the back for being careful on the road.
Key Benefits of NCB in Bike Insurance
- Lower Premiums: The biggest perk is that every claim-free year reduces your premium.
- Encourages Safe Riding: The bonus promotes responsible behaviour on the road.
- Long-Term Savings: With up to 50% savings on OD premiums, you save a lot over time.
- Transferable Advantage: Carry your NCB when switching bikes or insurers.
What Happens if You Make a Claim?
Filing a claim during your policy period resets your NCB to zero unless you have opted for an NCB protection add-on. Even minor claims can wipe out your bonus, which means you’ll lose the discount benefit during the next renewal.
That’s why many policyholders often think twice before raising a claim for small damages. Sometimes, it’s more cost-effective to pay out of pocket and retain your NCB rather than lose your long-term savings.
Is NCB transferable?
Changing your two-wheeler? Or switching to a new insurer? No worries; your NCB goes with you. When you buy a new bike or decide to switch insurance providers, you can transfer your existing NCB to the new policy.
All you need is an NCB certificate from your previous insurer. This flexibility makes NCB an even more valuable feature for long-term savings.
How to Check Your NCB?
Here are simple ways to check your No-Claim Bonus before your bike insurance renewal:
- Policy Document: Your renewal document should mention the current NCB percentage.
- Online Portal: Most insurers allow you to check the NCB via their website or mobile app.
- Customer Support: You can also call your insurer’s helpline and get the details instantly.
Always check your NCB status before renewing so you don’t miss out on any savings.
Documents Required to Transfer NCB
If you’re buying a new bike or changing your insurer, you’ll need:
- NCB Certificate from your previous insurer
- Previous policy details (policy number, expiry date)
- Vehicle Registration Certificate (RC)
- ID proof (if required by new insurer)
To retain the benefits, ensure that the transfer is completed within the stipulated timeline, typically within 90 days of your policy expiration.
Imagine being rewarded every year for riding safely. That’s exactly what the No-Claim Bonus does. It gives you a practical financial advantage for being cautious and claim-free. While it may seem like a small percentage at first, over the years, the savings add up.
When you renew your bike insurance online, check your NCB and renew within the due date to avoid losing your bonus. These smart steps can reduce your premium and strengthen your coverage.
With insurers like Bajaj Allianz General Insurance Company, riders can enjoy smooth policy renewals, transparent bonus structures, and added features to protect their NCB. As the road ahead continues, make every claim-free mile count, not just for your safety but also for your wallet.
*Standard T&C Apply
Disclaimer: The content on this page is generic and shared only for informational and explanatory purposes. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making any related decisions.
Insurance is the subject matter of solicitation. For more details on benefits, exclusions, limitations, terms, and conditions, please read the sales brochure/policy wording carefully before concluding a sale.
Claims are subject to terms and conditions set forth under the motor insurance policy.
