How does No-Claim Bonus (NCB) work?
Reviewed October 2026 · General guidance; your policy wording and insurer decide your claim.
NCB is a discount on the own-damage part of your premium, earned for every year you do not make a claim. The usual steps are 20% after 1 claim-free year, then 25%, 35%, 45% and a maximum of 50% after 5 years.
If you make a claim, the NCB usually drops to 0% at your next renewal. Losing a 35–50% discount can cost more than a small repair, which is why ClearClaim compares claiming with paying yourself.
NCB belongs to you, not the car. You can usually carry it to a new car or a new insurer. Third-party premium is not discounted by NCB.