2 policies but no claims discount only applies to one?

[pj41]

Hi All,

 

I have had a car insurace policy with Kwik fit for the last 4 years or so on the same car and now have about 9 years no claims discount.

 

Recently I purchased another car and rang them for a quote on the new car. I'm Keeping the original car and policy. I went through all the questions and was quoted a figure and paid for the years insurance in one go.

 

One of the questions being "how many years no claims do you have?" (answer above).

 

Two weeks later I receive a letter from kwik fit asking me to forward them documentation demonstrating my mime years no claims. I wrote back and said My other policy is with you etc and the advisor on phone went through this.

 

Got another letter asking for same information so wrote back generally complaining that they didn't seem to now what they were doing and sort it out amongst yourselves etc.

 

Had a phone call from complaints dept advising that no claims discount applies to ONE car/ONE policy at a time and they want to zero my discount down and charge me the difference. I advised it was their error, to which they admitted it was their mistake and would pay for any additional costs incurred from the insurance company.

 

during the conversation I did say that I may be selling the original car during the summer at my pace, if i feel like it.

 

Had a phone call tonight informing me that the insurace company will hold the original policy as valid for 60 days max by which time I must either sell the original car or pay the increased premium on the new car with zero no claims discount.

 

question : is this right? do no claims discounts apply to a policy and a vehicle. I would have thought that a driver/owner would make a claim not the car.

 

Thoughts and comments most appreciated.

 

 

Cheers

 

pj41

[Darkangelsdelite]

Yes, this is correct. you can only use your NCD on one policy at a time.

As its in use on your 1st car, you cant use it on the 2nd as well.

 

You really only have a few options.

 

1) Pay the additional premium for zero NCD on the 2nd car.

2) remove the NCD from the 1st policy, pay whatever AP is due on that one, this will free up the NCD to use on the 2nd policy.

3) see if kwik fit offer some kind of 2nd car policy whereby the offer you a discount for insuring 2 card.

4) try and find another company that will offer a discount for insuring 2 cars (tesco and admiral do for starters) and cancel both cars with kwik fit and move to the new company.

 

As a side note (and this sounds a lot more complicated than it really is, so bear with me!) If you are intending to sell your 1st car, what you could do is cancel the new policy and add the second car to the 1st policy as a temporary additional vehicle for a couple of months (time limits vary from company to company) then when you sell the 1st car, just do a change of vehicle on the 1st policy.

 

Hope that helps

 

 

DA

[rco2]

hi, i am having some trouble with my insurance company about NCB. i have 3 cars with 3 insurers. one being my business car, family car and run around car. i am insured on my business car, my wife and i are insured on the family car, and my son and i on the 3rd car.

Now i have NCB on my car and family car, but as the 3rd is a new addition to the household, i have no NCB on it. my son is a student and he uses it now and again.

 

Does anyone know whether you can split your NCB from other insurers to put some on another car?

 

thanks

[Mossycat]

No is the answer to that.

 

As Darkangelsdelite so eloquently explained the position earlier on a NCB applies to ONE car only, since the 3rd car you mention is a NEW car and an ADDITIONAL car to your household any NCB you are entitled to is already in use on the existing vehicle. You cannot say I have 8 years NCB so I will take 4 years on car 1 and 4 years on car 2, it is one NCB per policy (ie per vehicle).

 

As a side note as a motor claims handler I am always suspicious when I see an extra car suddenly appearing into a household where there is a young driver who drives it 'every now and again', if your son is the main user of that vehicle you really should insure it in his name as opposed to adding him as an additional driver just to save money on a premium.

 

I won't go into any great detail here but insurers are well aware this happens and should a claim be made and it transpires that your son was the main user it will have serious consequences, you would be amazed at what insurers can find out when they start looking.

 

Mossy

[MrShed]

How would they find out such a thing MC?

[Darkangelsdelite]

I believe Mossy is referring to "Fronted Risk".

 

If you do a search through the forums you will see there are is a lot of information about this subject posted elsewhere.

 

What he said is spot on though, you cant split your NCD so you would either have to start with zero or try to find a company that will cover all 3 cars with some sort of multiple discount.

 

 

DA

[MrShed]

Thanks for the input, but that doesnt answer my question.

 

My question was HOW would they possibly find out that the proportion of driving time is not as stated on the policy.

[Bernie_the_Bolt]

Thanks for the input, but that doesnt answer my question.

 

My question was HOW would they possibly find out that the proportion of driving time is not as stated on the policy.

 

Normally it comes after an accident.

You have a legal obligation to be truthful. (In fact it goes beyond that.) If you are not, you can find yourself with a very expensive problem.

[Mossycat]

How would they find out such a thing MC?

 

MrShed

 

I really cannot answer that, I cannot disclose the techniques we (or other Companies use) to detect fraud.

 

You have seen enough of my posts to know that I try to post helpful replies and my original post on this thread was meant to try and help the OP.

 

Just trust me when I say that if the main user of a vehicle is a young driver we can usually ascertain that in a very short period of time.

 

Mossy

[MrShed]

Fair enough MC

[Darkangelsdelite]

Thanks for the input, but that doesnt answer my question.

 

My question was HOW would they possibly find out that the proportion of driving time is not as stated on the policy.

 

 

Normally we'd pick this up in CSD when you ring in to discuss the policy, we're all trained in how to detect fraud and to spot when something isn't quite right on a policy, simply by asking a few questions.

 

When you take out a policy, you agree to something called the duty of disclosure. you'll find most insurers will ask you to be honest with any answers you give as any in-accuracy's may invalidate your cover.

 

Again, echoing what mossy said, i'm not going to go into specifics, but suffice to say the entire industry is clamping down on fraud big time as its costing millions!

 

DA

[marmicnut]

Why must it only apply to one car?? cannot get a logical answer.

[unclebulgaria67]

Why must it only apply to one car?? cannot get a logical answer.

 

Already answered. This goes back years ago, when most people only had 1 car. It became industry practice when people started to have other cars for it to be necessary to build up another no claims discount entitlement. I can't see the industry changing this.

 

You can only use one NCD entitlement on one car for this reason.

 

If you own more than one car, you should go to a brokers and they can work out the best option.

[BRIGADIER2JCS]

Why must it only apply to one car?? cannot get a logical answer.

This thread is 6 years old, if you want further advice please start your own thread.