When it comes to advantages of a job, many of us will imagine having access to a company car as one of those benefits, but what happens when you move on from the job or no longer need to use the business’ vehicle?
For those who have spent multiple years driving a company car and haven’t owned their own vehicle during that period, transitioning back to having your own car may bring some complications when it comes to insurance.
All those years of driving safely may not necessarily result in a no claims bonus for your private car insurance, which can be very frustrating for drivers.
What exactly is a no claims bonus?
When an insurer examines your claims history and, if you qualify as a result of a claim-free period or history, offers you a reduction or discount on your car insurance premium cost, this is known as a no claims bonus (NCB). Who doesn’t enjoy saving some money, right?
What makes someone eligible for a no claims bonus?
The opportunity for a NCB is available every year, and you will receive it if you have not made any claims in the past. The discount increases each year you continue not to make any claims. This discount can reach up to 60% off after five years or more.
How can you obtain proof of your no claims bonus?
While this may not be the case with every insurance provider, some may require proof of your NCB in addition to checking your claims history.
Many individuals receive this information when their policy ends or when they switch insurers, but if not, you can contact your previous insurer and request the necessary information to provide to your new provider. It is advisable to inquire beforehand to avoid any complications.
Can you transfer a no claims bonus to a new policy or insurance provider?
The accumulated years of NCB can be transferred if you switch to a new insurer or purchase a new car. Specific situations, such as transferring a company car NCB, may involve additional steps.
Always verify with your insurance provider if you are uncertain about what you can transfer and what their policies are.
Is there an expiration for a no claims bonus?
Your NCB typically expires after two years if you decide to take a break from driving. After two years, many insurance companies may not accept your expired no claims bonus, leading to potential issues for individuals who previously drove a company car for years.
Adrian Flux, as an insurance broker, can assess each case individually; therefore, you may still be eligible for the discount even if your NCB has expired or was from a company car.
How can you transfer your no claims bonus from a company car to your private car?
It is advisable to inquire with your insurance provider regarding their transfer options, as not all providers allow you to transfer your NCB. When you go through the process with an insurance broker like Adrian Flux, you are more likely to succeed in this endeavor.
For those providers that permit it, typically, as long as you are the sole user of the company car, listed on the insurance policy, and can provide evidence of this, it should be a simple matter of requesting your provider to transfer it.
What sets Adrian Flux apart in terms of no claims bonuses?
At Adrian Flux, we recognize that responsible drivers should be rewarded, whether they are driving a private or company car.
Our approach to insurance for former company car drivers is straightforward (whether they had company car insurance or their employer did); we collaborate with insurance companies that acknowledge your company car no claims bonus so you receive a fair deal on your personal car insurance.
Upon receiving confirmation from your employer or former employer regarding the number of years of company car insurance NCB you have earned, we can apply an appropriate discount to your quote for your personal vehicle.
Call 0800 369 8590 for a quick and easy quote, or schedule a callback at your convenience.
