Most of us know that when it comes to vehicle insurance, the No-Claims Discount (NCD) is a good way to pay a lot less for the same coverage. If you’re a really safe driver, you can build a spotless driving record that will allow you to reap savings by paying less for your car insurance policy.
What is a ‘ No-Claims Discount’?
Like its name suggests, NCD means that, if you have not made any ‘at-fault’ claims on your policy within the insured period, you’ll be rewarded with a discount on your vehicle insurance premium when you renew it. The longer you keep up an impeccable driving record, the higher the discount you can get—although with most insurance companies, this maxes out at 50 percent.
It’s different for motorcyclists. In Singapore, if you’re a safe rider with zero claims for three consecutive years, the highest NCD you can usually get is 20 percent.
At DirectAsia, though, car owners and motorcyclists can get discounts of up to 60 percent and 30 percent, respectively.
What are all the available NCD offered by DirectAsia?
For your convenience, we’ve summarized all the NCD you can get if you’re a safe driver, whether you have a car or motorcycle:
Now that you know all about NCD for car and motorcycle insurance, you just need to keep insured and drive safe, right?
Sounds easier than it really is.
But it took me such a long time to get to NCD50… Now I’m afraid to make any claims, even when I really need to.
You’re right. It’s stressful knowing that you will lose out on a huge discount when you make a claim. That’s why insurance providers have come up with NCD protection.
First of all, do you know how much discount you actually miss out on without NCD Protection?
Here’s what usually happens to your next car insurance renewal when you make a claim:
For motorcyclists, it’s even worse. Insurance policies are usually stricter for riders, and with good reason—
57 percent of traffic accidents in Singapore, from January to June in 2018, involved motorcyclists.
Just one slip-up, and there goes your discount. Even if it took you such a long time to earn it.
Accidents are hard to avoid over a lifetime, and you can’t predict when they’ll happen—that’s why you got insurance in the first place. If you don’t want to have to worry about making a claim and risking the loss of your NCD, consider getting NCD Protection.
Adding this optional protection when you renew your insurance policy will likely help you save more in the long run, as you continue leveraging on the NCD level you’ve attained, instead of starting again with lower discounts.
Protecting your NCD Status
With NCD Protection, you’ll not only retain your NCD Level and valuable premium discount—you may even progress to the next level when the time comes to renew your plan.
For instance, imagine if you’ve been enjoying your 50 percent discount for every renewal. But the unexpected happens. Maybe the road was really slippery that day, or you could hardly see ahead of you in the pouring rain. Or the driver in front of you suddenly slammed on the brakes. You crashed.
You face two choices: shoulder the hefty repair costs yourself, or see your NCD discount plummet to 20 percent the next year.
Worse, you were finally going to qualify for the coveted 60 percent discount on your next renewal. Now, you have to start all over again from NCD20! And it’ll take many years to rebuild your safe driving record.
That’s why NCD Protection can really come in handy.
Motorcyclists can also safely make a claim without losing their perks with NCD Protector Plus:
Now your NCD status doesn’t feel all that fragile anymore.
So, if you’re already a smart, savvy and safe driver enjoying the benefits of your NCD, you can consider adding NCD Protection to make your plan bulletproof.
The extra layer of protection will give you an added buffer when you’re building up your NCD Level. Even in the event of unforeseen accidents, you won’t have to start all over again and forfeit your huge discounts.
Save more and worry less. Get your NCD protection today.