Can my father transfer some or all of his no claims discount to me, if so with what companies?
Question by James Sawyer on 3rd Apr 2008 at 11:21
James, unfortunately transfering no claims discount from one person to another is not possible. It will defeat the purpose of getting no claims discount (NCD) as well since the no claims bonus is like a reward for drivers for their good driving, that is not being involved in any accidents or making any claims to the insurance company. Therefore your dad cannot transfer his no claims bonus to you!
However, no claims discount is transferable from one insurance company to another. So, if you have 2 years NCD from one insurance company and then go with another company which offers you a better quote, you will be able to use that NCD from your previous insurance company to your new one. After a year of driving without any claims, you will be entitled to 3 years NCD (for this example) and you will be able to transfer the 3 years NCD to a new insurance company, should you change company once more.
You might be interested in building no claims discount as a named driver though, which means that even though you are not the main driver (policyholder) but driving as an additional driver on your dad's insurance policy, you will get NCD as a named driver afterwards.
However, no claims discount is transferable from one insurance company to another. So, if you have 2 years NCD from one insurance company and then go with another company which offers you a better quote, you will be able to use that NCD from your previous insurance company to your new one. After a year of driving without any claims, you will be entitled to 3 years NCD (for this example) and you will be able to transfer the 3 years NCD to a new insurance company, should you change company once more.
You might be interested in building no claims discount as a named driver though, which means that even though you are not the main driver (policyholder) but driving as an additional driver on your dad's insurance policy, you will get NCD as a named driver afterwards.