NO CLAIMS DISCOUNT
Car or home insurance policy holders can build up and preserve a no claims discount. By building up a no claims discount allows the policyholder to substantial savings when renewing their policy in future years.
There is no maximum to the number of years of a no claims discount, but most insurance companies won't give more than 10 years discount. Some insurance companies may state 5 years or more on the policy rather giving the specific number of years on the policy.
If the policy holder does have an accident the no claims discount is usually reduced by 2 years if a claim is made.
No claims discount can be safe guarded by the policy holder by paying an additional amount each year to protect the no claims discount in the event of an accident or claim.
