No Claim Bonus NCB Explained How Discounts Work in 2026

A no claim bonus might also be a smaller discount than you could receive by shopping around and comparing costs between insurers. But a no claim bonus doesn’t always reduce the cost of your insurance. A protected no claim bonus is an extra-cost option you can add to your cover.
Each year you hold continuous insurance without making an at-fault claim, you move up one rating level. Australian insurers use a standardised rating scale from 1 to 6 to calculate your no claim bonus discount. Actuaries use your claims history as a key pricing variable alongside factors like age, location, and vehicle type. These behaviors all translate to reduced financial risk for the insurer, which they reward through premium discounts. Drivers who make casino codes no deposit 2026 claims over several years cost insurers far less than those who claim regularly. This lets them confidently offer you a lower premium because the mathematical probability of having to pay out on your policy drops significantly. Your insurer calculates premiums based on risk assessment, and your claims history is one of the strongest predictors of future claims.
There is an age excess but that plus the standard excess is a little less than previously. The overall cost will be difference will be the same but won’t be called a no claim discount. If my neighbour is the same age and has the same car as me but they have had 2 speeding fines and at fault claim in the last 2-3 years their premium will be a lot more the mine if I’m a clean skin. We just got ours and it’s gone from $1142 to $1342 which given the age of the vehicle and inflation seems ok, despite them dumping NCB. It won’t affect us till the next renewals but can almost guarantee I’ll be going elsewhere as that was the last benefit of sticking with NRMA.
I liked the way you could pay lower premium but higher excess, we are/were winning on that front. I always do a quote on each company before renewing and this is the first year a straight renewal has been the best option Last month, I faced a similar situation where my auto renewal quote was unexpectedly high. I would hazard a guess that everybody’s motor vehicle insurance would be a lot cheaper if drivers put their phones down and looked where they where going.
I have my renewal for my vehicle from NRMA, due at the end of the month. Sometimes It’s close to cheapest, and easier to deal with than some of the others. If they are removing a marketing/fake discounts of “no claim bonus”, then they might as well adjust premiums to suit. I already renewed for the car this year but will have to conduct more rigorous analysis across all policies next time to compare options.
In these cases, your own insurance policy may be triggered, and your premium may increase as a result. Plus, with Sheen, you’re entitled to an accident replacement vehicle if you’re not at fault, ensuring you stay on the road through it all. That said, if your insurer does become involved in the process, there’s a possibility they may take the claim into account when reviewing your policy renewal. In most cases, a not-at-fault accident does not impact your insurance premium, excess, or overall policy. We’ve created this guide to help you understand how your insurance policy may be affected by a not at fault accident. This is often used by drivers with a high rating. This can let you make one at-fault claim in a policy period without dropping back, subject to the product rules.
Understanding these mechanics helps you make smarter decisions about when to claim and how to keep your premiums as low as possible. We’ll also cover whether reaching the maximum rating actually guarantees you the cheapest insurance, and how to get the best value from your policy. A no claim bonus is a discount on your car insurance premium that rewards you for not making claims.
Each time my renewal has come around, NRMA has been cheapest quote with (and sometimes without) loyalty bonus, that’s why I use them. There are plenty of insurers in Australia, so put aside some time to compare the cost and understand what is (and is not) covered by different policies. If protecting your no claim bonus means you’re paying more for car insurance than you would with a provider that doesn’t offer this discount at all, then it might be time to make a switch.
Likewise, and NRMA was always very competitively priced on that basis along with the loyalty discount (for years + policies). Now that’s gone I’ve already moved 2 of my 4 car policies to other insurers as they just don’t seem to be as competitive. You have to ask why offer a no claim bonus in the first place People avoid claiming on insurance to prevent losing the NCB. So the new reality is that you are a driver with a good driving record (they only car if you made an at fault claim in the last 3 years). You can often go to the same insurer website and request a new year 0 quote and get a better deal than if you are a “loyal” and safe driver of over 10 years. You have to ask why offer a no claim bonus in the first place.