No Claim Bonus in Car Insurance 2026
NCB Discount Slab
| Claim-Free Years | Discount |
|---|---|
| 1 year | 20% |
| 2 years | 25% |
| 3 years | 35% |
| 4 years | 45% |
| 5+ years | 50% |
Key Points
- NCB applies only to own-damage premium (not third-party)
- Resets to 0% after any claim
- Portable when switching insurers
- Belongs to policyholder, not the car
- 90-day grace period to retain NCB after renewal date
When to Pay Out of Pocket vs Claim
If repair cost < NCB discount amount, pay out of pocket to preserve NCB.
**Example:** NCB saves Rs. 10,000. Repair costs Rs. 5,000. Pay out of pocket.
NCB Protection Add-on
Costs Rs. 1,000-2,000 extra. Allows 1-2 claims per year without losing NCB. Worth it if you have 35%+ NCB.
Common Myths
- NCB is lost if you do not renew on time (FALSE -- 90-day grace period)
- NCB applies to third-party premium (FALSE -- only own-damage)
- NCB can be transferred to spouse (FALSE -- stays with policyholder)
**Want to maximize your car insurance savings?** [Get a free quote](https://insurancesupport.online/services/motor-insurance).
HK
Hari Kotian
IRDAI Certified Insurance Advisor | 25+ Years Experience
IRDAI Reg No: 0149161D. Helping families across Bengaluru and India with insurance advisory, claim recovery, and policy optimization since 1998.
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