What Is No Claim Bonus In A Bike Insurance Policy?

Bike Insurance

No claim bonus is a benefit offered by insurers to policyholders who do not make any claims during the policy period. This discount can be a percentage of the premium amount or as an absolute sum. The no-claim bonus helps in reducing the overall cost of bike insurance.

The policyholder may have to fulfill certain conditions to avail of this discount. First, the premium amount should not be less than a particular threshold limit for the policy term. Second, the no-claim bonus will only be applicable if no claims are pending against the policy at renewal. To receive higher discounts over a longer period, you may need to renew your bike insurance policy without any lapse in coverage.

Save on bike insurance costs

The no-claim bonus is a great way to save on bike insurance costs. If you have a good driving record, you can avail of this discount and reduce your premium amount significantly. However, you should always be mindful of the conditions that need to be satisfied for claiming a no-claim bonus. 

Additionally, it is important to read the policy terms and conditions carefully to fully understand your insurance coverage and this benefit. With careful planning and proper research, you can easily get good discounts on bike insurance without making any claims.​

Benefits of No Claim Bonus In A Bike Insurance Policy:

1. No Claim Bonus In A Bike Insurance Policy Will Lower Your Premium

Because you haven’t made any claim during the policy period, your insurer will apply a discount on your premium amount. The exact discount offered varies from insurer to insurer, but most offer around 15 percent for one year’s NCB and 25-50 percent for two or more consecutive years of claim-free insurance.

2. Some Insurers Offer Additional Rewards For Claim Free Policies

A few insurers, such as Bajaj Allianz General Insurance, offer additional rewards to policyholders who hold a claim-free NCB, which can be air miles, gift vouchers, etc. Acko bike insurance also offers several rewards.

3. Your Policy Is Less Likely To Be Cancelled

As you have not made any claim during the policy period, your insurer is less likely to cancel your policy. This is because insurers tend to cancel the policies of customers who frequently make claims, as they are considered high-risk customers.

4. You Can Get A Discount On The Voluntary Deductible

The voluntary deductible is the amount of money you agree to pay towards a claim before the insurer pays out the remainder. If you have a good NCB, you can get a discount on the voluntary deductible, which will lower your overall premium amount.

5. You Can Port Your NCB To A New Insurer

If you plan to switch insurers, you can port your NCB to the new insurer. This means that you will not have to start from scratch in terms of the discount that you get on your premium.

6. You May Not Need To Pay The Full Premium Upfront

If you have a good NCB, some insurers may allow you to pay only a part of the premium upfront, and the remaining amount can be spread out over the policy term. These are known as No Claim Bonus installments.

7. You Can Get A Discount On Your Premium Even If You Have Made A Claim

Some insurers offer discounts even if you have claimed the previous year’s policy. This is a paid-up No Claim Bonus and can be availed for two or more years, depending on the insurer.

8. NCB Can Be Transferred When You Sell Your Bike Or Change Your Policy Type

If you sell your bike or change your policy type (from comprehensive to third-party), you can transfer your NCB to the new policy. This will help you get a discount on the premium of the new policy.

Anyone who owns a vehicle knows that proper insurance is essential to protecting your investment. Accidents happen, and even the most careful drivers can find themselves needing repairs or replacements due to damage incurred in a collision. To be prepared for all eventualities, it is important to have adequate coverage in place before you hit the road. One of the key elements of any good auto insurance policy is no claim bonus or NCB.

Why is No Claim Bonus In Bike Insurance important?

NCB is an incentive that rewards drivers for maintaining a clean driving record over time. The longer you go without making any claims on your two wheeler insurance renewal policy, the higher your no-claim bonus. 

This allows you to save money on future premiums, giving you some much-needed relief when paying for damages caused by accidents or other unexpected events. In addition, having high NCB can help make it easier to obtain affordable insurance at renewal time, as insurers see that they are more likely to get their money back over time.

A no-claim bonus is a fantastic way to save money on bike insurance. If you have an excellent driving record, you may take advantage of this discount and drastically lower your premium. However, you should always be aware of the restrictions that must be met to qualify for a no-claim bonus.


So it is better to go for the no claim bonus for your bike insurance as this way you would be able to get the maximum benefit coverage for your bike.

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About the Author: Mark Callaway