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 Have you recently had to renew your motor insurance in Dubai and provide proof that you haven't filed any claims for a year or more? Did your insurance company, broker, or agent explain what a "No Claims Bonus" is? Let’s dive deeper into the term! 

Drivers who go an entire year or more without filing an insurance claim are given a "No Claims Bonus." For each year without filing a claim on your car insurance in Dubai, your insurer will provide you with a discount. So, it’s a reward system to encourage people to maintain their claim-free year. The discount percentage rises with the number of years without a claim! The insurers use it as a means of rewarding cautious drivers!

Rules behind the "No Claims Bonus"

Of course, the rules stick behind the No Claim Bonus, ensuring that everyone is driving carefully and being cautious on the road. As a result, they are rewarded for maintaining good driving records. Regarding the No-Claim Bonus, there are a few points that you should be aware of: 

• Even if you changed to another insurance company, your No Claims Bonus will still be in effect! So, don’t forget to request a "No Claims Bonus Proof" or "No Claims Certificate" from your current insurance company and hand it over to your new insurance company.

• The discount percentage increases the more years you go without filing any claims! The best approach to reducing your car insurance costs is to drive responsibly and safely, and build up your No Claims Bonus!

• Your No Claims Bonus typically won't be impacted even if you are involved in an accident for which you are not at fault, and you will receive a No Claims Certificate at the end of the year.

• If you purchase a second vehicle, many insurers offer the option of using your no-claims bonus on both of your cars and receiving reductions on your insurance policy. Check if your insurer gives this beneficial discount when purchasing coverage for a second car!

Do you still have questions about the No Claims Bonus? Do you want to know the percentage discount you are eligible for based on the number of years you have gone without filing a claim? Reach out to our motor insurance specialists at policyhouse.com. The team is extremely happy to address all of your questions on the no-claim bonus and other insurance policies and offers. Enjoy your happy driving moments!