A protected claims insurance question...

[iliria]

Been with my current insurer for 5 months and have a 6 years no claims discount. Paying around £600 per year. I thought I had ticked the option to protect my claims but it turns out I havent. And I cant add that option on now so far into the policy. To cancel the current policy costs £50. Should I cancel and get another policy instead with the protected no claims? The reason I ask is because I may need to put a claim in which means that my no claims would disappear.

 

[geraldrobins]

Been with my current insurer for 5 months and have a 6 years no claims discount. Paying around £600 per year. I thought I had ticked the option to protect my claims but it turns out I havent. And I cant add that option on now so far into the policy. To cancel the current policy costs £50. Should I cancel and get another policy instead with the protected no claims? The reason I ask is because I may need to put a claim in which means that my no claims would disappear.

Usually you don't lose all your no claims if you make a claim.
If you need to make a claim you can only claim on the policy at the time of the incident, otherwise it would be fraudulent surely.

 

[renault12ts]

Yep...fraudulent.

 

[markjay]

Before making the claim ask them if it will affect your no claims discount.

If it will, you might be better off simply not putting the claim through.

 

[bob6600]

You will probably lose 2 year's no claims.

Regardless of no claim's discount applied, insurance will go up next year, unless it is a glass claim

Curious as to 'may need to make a claim'...if it is not keeping you off the road, wait until after renewal?

If the car is damaged, don't think it is illegal to claim a few months later, although someone can correct me on this

 

[Benzowner]

IMO paying for protected NCD is a con, yes they will keep your discount, but they will increase your premium in the case of an accident whether your fault or not.

 

[renault12ts]

Any advice on the best option to fix car after minor accident? - MBClub UK - Bringing together Mercedes Enthusiasts

 

[markjay]

....If the car is damaged, don't think it is illegal to claim a few months later, although someone can correct me on this

You can only claim against the policy that was in force at the time the insured incident occured.

So even if the OP cancels the policy and takes out a new one with protected NCD, he'll still need to claim against his old policy (and lose some NCD), becuase that's the policy that was in force at the time the incident occurred.

Unless he lies regarding the date the incident occurred, in which case he could claim against the new policy with the protected NCD, but this claim would be fraudulant.

 

[markjay]

IMO paying for protected NCD is a con, yes they will keep your discount, but they will increase your premium in the case of an accident whether your fault or not.

That is not my experience (with Aviva). The wife had an at-fault accident, the premium increase the following year was very minor and nowhere near what it would have been if she also lost some of her NCD in the process. Based on my experience it's well worth having.

 

[iliria]

Thank you for the advice guys. I have no intention to make a fraudulent claim so if that is the case then it looks like I might repair the damage myself instead of going through the insurance. Depending on how much the cost is. The silver lining in this cloud is that at least my excess is only £100+£50.

renault12ts has linked above the other thread I started which explains the incident.

 

[SUPERNOVA1a]

But you will have bear in mind that if even you ask what would be the case of making a claim that will be put on your or the cars record. Had a case with my son when he was hit on the drivers side and the repair quote was more then the car, so we decided not go through the insurance company and had it repaired privately. The following year The premium went up by £22 because we informed them that there was an accident whether there was claim or not

 

[iliria]

IMO paying for protected NCD is a con, yes they will keep your discount, but they will increase your premium in the case of an accident whether your fault or not.

Is that if you stay with the same insurer?

I had an accident with my previous car 6 years ago and claimed through insurance (LV). I had 4 years no claims at the time. When the renewal date came LV quoted me £1800 (from £600 I was paying previously). I went on one of the comparioson websites and found an insurer for £780.

 

[tangey]

IMO paying for protected NCD is a con, yes they will keep your discount, but they will increase your premium in the case of an accident whether your fault or not.

If you don't protect your bonus, then if you make a claim, on renewal your base premium will be higher (because of your accident history), and your bonus will be lower.

If you protect your bonus, then if you make a claim, on renewal the base premium will be higher (because of your accident history), but your bonus will be the same, resulting in a lower premium than above.

Of course if you move, then you might get a better quote from another insurer, but they will all take into account your accident/claims history and your current NCD, resulting in a lower premium for having had your bonus protected, than not. Whether or not the extra paid for protection is worth having, depends of how much etc, and how likely you feel you are to have an accident and a lot of 'unknowns'

 

[markjay]

..... because we informed them that there was an accident whether there was claim or not

...which you are legally obliged to do anyway.

 

[SUPERNOVA1a]

From iliria.

Is that if you stay with the same insurer?

I had an accident with my previous car 6 years ago and claimed through insurance (LV). I had 4 years no claims at the time. When the renewal date came LV quoted me £1800 (from £600 I was paying previously). I went on one of the comparison websites and found an insurer for £780.

For the last 10 years have been switching insurance companies every year. First using various comparison websites the one two of the market leaders who do not pay a fee to the comparison companies. Have always been able to beat a renewal quote, so much for loyalty.

 

[SUPERNOVA1a]

...which you are legally obliged to do anyway.

I accept that legal case, but if there is no claim and it wasn't my fault then why the penalty?

 

[grober]

If on a PCP agreement have you checked the small print?

 

[markjay]

If you protect your bonus, then if you make a claim, on renewal the base premium will be higher (because of your accident history), but your bonus will be the same, resulting in a lower premium than above...

Correct, this was my experience.

 

[markjay]

I accept that legal case, but if there is no claim and it wasn't my fault then why the penalty?

For insurance purposes the 'fault' is either 100%-0%, 50%-50%, or 0%-100%.

In reality the 'fault' in vast majority of accidents is actually more like 80%-20%, or 60%-40%, etc.

In other words, a good driver will avoid most (though not all) accidents, 'at-fault' or otherwise.

As an example, you crash into someone at a junction, you had a green light, his was red. Could you have avoided the accident? Probably, by applying better observation even though you were entering the junction at a green light.

The insurers consider careful drives who avoid all accidents to be a lower risk overall than those drives who are not as good or mindful and tend to have 'no fault' accidents.

Statistically, a driver that is involved in a large number of 'no-fault' accidents is more likely to be eventually involved in an 'at-fault' accident - hence why that driver is a higher risk and will pay a higher premium.

 

[SUPERNOVA1a]

My pet gripe at the moment is people on bicycle's​. They should be made to have basic third party insurance. The insurance company's close the book and the fault is yours​ automatically even if you have 100% proof, they don't want to know. Speaking from costly experience.