Will I lose my no claims bonus?

I am insuring my car myself but have recently aquired a company car which they are insuring for me.

I want to cancel the insurance with the company I'm with, but don't want to lose my no claims bonus.

Will this happen or will I carry on gaining this ' no claims bonus' with my company insurance any advice ..... phewww

14 Answers

  • 1 decade ago
    Best answer

    Once you go back to insuring your own car, get a certificate from the companies insurer about your driving record while with them. I was in the same situation, and had a company car for 5 years, and lost all my no claims, but on producing a clean driving record for that time under the company, the insurers gave me 2 years no claims back as a start - so in summary, yes you will lose your no claims! Sorry to have waffled!

  • Anonymous
    1 decade ago

    I drove company cars for several years before I ever owned my own car. By going to a broker for my first personal insurance, they found several companies that would give me a large no claims discount because I was classified as an experienced driver.

    When you cancel your insurance, be sure to ask them to forward a 'proof of no-claims discount' to you. Provided you have no claims with your company car you should be able to reap the full benefit when you go back to insuring your own car - but you might need to shop around a bit if the time scale is pretty long.

    I believe that the majority of insurers now go on your insurance history in total, rather than just your own personal insurance purchases.

  • Astra
    Lv 6
    1 decade ago

    . . . When you cancel your personal motor insurance do it in writing and request confirmation of no claims bonus/period to date, keep a copy of your letter and their reply (if you get one), keep your current insurance documents.

    The company car will probably be under a group insurance policy and any existing no claims of yours will make no difference.

    Should you have any accidents whilst driving the company car the group policy will obviously pay out.

    The problem arises only should you revert at a later date to personal cover.

    At that time you will need written confirmation from both your employer and the insurer as to any or no claims down to you.

    Your next motor insurer will accept that plus the previous personal insurers record and your own records as proof of No Claims.

    Good luck - I went through all of that after driving a company car for 10 years and going back to my own car.

    It took almost a year to sort out because I hadn't kept the records as above, I had to pay the full premium but eventually I got 70% no claims discount.

  • 1 decade ago

    so . . . you're taking your personal car off the road? Not only will you lose your no claim bonus, HOWEVER, when you go to put the car back on the road again, you ALSO won't get a "continuous coverage" discount.

    Oh, and the insurance on your company car WILL NOT carry over for you, if you're hit as a pedestrian, or if you drive someone else's car, or a rental.

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  • Chris
    Lv 5
    1 decade ago

    If you still own a vehicle you should keep it insured, even if your company car might be your principal mode of transportation. You would probably lose your no claims discount, and if there's a lapse in coverage sometimes the insurance company won't insure you (if you go elsewhere) or will charge more because of it.

  • 1 decade ago

    U keep Ur no claims bonus for 2 years, after that it becomes invalid, just get insurance on a cheap car for 1 year, b4 the 2 years runs out, say it worth £50, and U'll do under 1000 miles a year, and just don't drive it

  • 1 decade ago

    More than likely you will.

    If you leave an insurance company, you risk losing discounts that have applied to your policy over time. Like claim free, or accident free, or a longevity discount. You need to talk to your agent to verify this. And make sure it's okay to be driving your company car around all the time, since you won't have a personal auto insured anywhere.

    Source(s): My insurance license.
  • 1 decade ago

    It's a while since I had a company car, but then, your no claims was good for 2 years.

    If you have a company car for longer than that, then you will lose that no claims, but, most insurance companies will take into account your good driving record whilst you have a company car.

    I had one for six years. When I had to finance my own car again, my broker contacted my company, to confirm my driving record, and I got about 4 years no claims.

    Hope this helps.

  • 1 decade ago

    Check with your current company. They may accept a letter from your new insurance company stating that you have not been involved in any incidents while you were insured under your employers company.

  • 1 decade ago

    Your no claims bonus will be retained for two years, if you dont take out another private insurance in that time you will then lose it

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