When it comes to bike insurance, there are a lot of acronyms and jargon that can be confusing. One term you may have come across is “NCB.” But what exactly is NCB in bike insurance? Keep reading to find out.
Motorcycle insurance is a type of vehicle insurance specifically for motorcycles. Like car insurance, it is compulsory to have motorcycle insurance in most countries. motorcycle insurance covers the motorcycle itself, the rider, and any damage caused by the motorcycle to other property. There are two main types of motorcycle insurance: liability only and comprehensive.
What is a No Claim Bonus?
NCB stands for No Claim Bonus. It’s a discount that motorcycle owners can get on their premiums if they haven’t made any claims on their insurance policy during the previous policy period. In other words, if you don’t file any claims, you’re rewarded with a lower premium when it comes time to renew your policy.
NCB can be very beneficial for riders because it can help lower their premiums. You may be entitled to a no-claim discount if you have not made a claim on your policy. This means that you will pay less for your insurance than someone who has made a claim.
How does NCB work?
Let’s say you pay Rs. 10,000 as a premium for your bike insurance policy, and you don’t make any claims during the policy period. When you renew your policy, you will be eligible for an NCB of 20% next year. This means that your premium for the second year will be reduced by 20%, or Rs. 2,000.
To be eligible for NCB, you must have a clean driving record with no accidents or traffic violations during the policy period. You also need to renew your bike insurance policy without any lapse in coverage.
Liability only covers the damage caused by the motorcycle to other property. It does not cover the motorcycle itself or the rider. Comprehensive insurance covers both the motorcycle and the rider, as well as any damage caused to other property.
NCB is short for No Claim Bonus. It is a discount that is given to riders who have not made a claim on their insurance policy during the previous year. The discount is usually 10-20% of the premium.
No-claim discounts are available from most insurers, but they vary in how much they will discount your premium. Some insurers will give you a 10% discount if you have not made a claim, while others will give you a 20% discount.
No-claim discounts are usually applied when you renew your policy. If you have not made a claim during the previous year, you should check with your insurer to see if you are entitled to a no-claim discount when you renew your policy.
Conclusion: NCB is an acronym for No Claim Bonus. It’s a reduction in your bike insurance premium given by some providers if you don’t make any claims in a given year.
NCB is a great way to save money on your motorcycle insurance premium. Suppose you can avoid making any claims and renew your policy without any lapses in coverage. In that case, you could be eligible for a hefty discount when it comes time to renew your policy. So make sure to ride safe and keep your driving record clean to take advantage of this discount!
If you want to know more about insurance terms like Zero Depreciation Bike Insurance then keep reading our blog.
I am Vishwanath Mathpati, a full-time Blogger and Motorcyclist from Bidar, Karnataka. I love writing about my Motorcycles Stories and Riding Gears on this blog.
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