No claim bonus: - No claim bonus is generally given by the motor
insurance companies to the insured vehicles which did not take any claim throughout
the year. So the insurance companies give some amount of relief for encouraging re insured as well as one can see a gift for driving and caring vehicle safely throughout
the year.
How much the no claim bonus: - This is different policy to policy
but generally no claim bonus is 10-15% of the policy.
How can one redeem the no claim bonus: - one can only adjust on
the policy renewal.
Effect on the sale of car: - No claim bonus certificate is a very
good thing to offer to the buyer of your car. The reason for this is as
follows.
1-
This tells that your car is not accidental or didn’t get any
serious maintenance.
2-
Insurance companies also offer discount on the insurance premium
which has no claim bonus. Insurance companies generally give 20% on the first
year, 30% on the second and 40% on the third year insurance premium if there is
no claim on the vehicle.
3-
One can demand more for his car as you are offering something very
useful.
One needs to pay the remaining part of no claim bonus for
transferring the policy. Like if you are selling the car on 1 July and the
policy expires on 31 December. The seller needs to pay the remaining 6 months
no claim bonus to the company. After which only the buyer can get full benefits
of no claim bonus.
Transferring insurance policy for the vehicle is lot of time
consuming and need a lot of paper work. Insurance policy is not transferred as
transferring the vehicle. Only third party insurance is transferred. So
transferring insurance policy is complex, but very important.
So in short never transfer the vehicle without informing the
insurer company and take into account the no claim bonus factor which selling
or buying the old vehicle.
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