No-claim bonus’s influence on two-wheeler insurance

Knowing bike insurance words will help you save money on your policy premiums and make an informed selection when purchasing a bike insurance policy. The word “NCB” is often used in bike insurance. Continue reading to learn about NCB in bike insurance.

How do you explain NCB with context of bike insurance?

An NCB is a gift offered by your insurer if you do not use your two-wheeler insurance throughout the policy period. It is a reduction in the premium granted by the insurance carrier as a reward to the policyholder for riding responsibly and keeping his bike in excellent condition. To save money on premiums, you must choose a bike insurance plan that offers a sufficient NCB.

Now that you understand what NCB in bike insurance is let’s learn more about this insurance lingo so you can make the most of it.

What is the Purpose of NCB?

The NCB is reducing the premium for Own Damage (OD) coverage. The NCB in bike insurance is 20% of the premium for the first claim-free year. Consequently, you accumulate NCB for each year you do not make a claim, up to 50% of your Comprehensive two-wheeler insurance premium. So, if you keep your claim-free years going, you can get a 50% discount on your OD cover cost after the fifth year. To be eligible for extra discounts, you must submit insurance annually after the maximum has been achieved. Half of the appropriate premium must be paid.

Even if your vehicle is involved in an accident, you can still accrue your NCB. Assume the third party bike insurance of the third party who caused the damage to your bike covers your losses. If despite submitting a claim, it is ruled that the insurer will not have to pay you out, the NCB will continue.

As expressed, the NCB will expire if the insurer honours and settles your claim. The NCB will accrue if the claim is honoured.

Advantages of NCB in two-wheeler insurance:

You should use  your NCB on your bike insurance and earn the perks indicated below if you do not file any claims throughout the policy period.

1. Aids in the reduction of premiums

If you do not file a claim during the insurance period, you will be given the NCB as a reduction when you pay your renewal payment. As a result, you may take advantage of the financial benefits it provides upon policy renewal. It may motivate you to drive cautiously and follow traffic regulations.

2. interchangeable

The NCB you receive for driving carefully and without filing a claim is yours. As a result, if you change insurance companies, it may be transferred to the new company, and you can continue to enjoy its benefits.

What exactly is NCB Protection Add-On Coverage in the context of bike insurance?

The Protection Add-On Protection for NCB in bike insurance is an optional coverage you may purchase to protect your NCB from being impacted by claims. Typically, NCB is only granted if no damage-related claims are filed throughout the policy term. As a result, even if you only file one claim, you will be ineligible for NCB for the remainder of the policy period. However, if you purchase a Protection Cover, your NCB will be protected even if you file a claim. As a result, if you have this add-on, you may file a claim without fear of losing your NCB.


  • It is only available with Comprehensive Bike Insurance.
  • It safeguards your No Claim Bonus while you file a damage-related claim.
  • You can normally make up to two claims annually but you should refer to the policy for the specific number of years it offers under this add-on without incurring a loss on the NCB.
  • Policy renewal must be conducted with the same insurer for this add-on to be applicable.


  • When claims are filed that are invalid.
  • In the case of theft or total loss, claims are made.
  • If bogus damage claims are filed.
  • Falsification of facts to file a claim for damages.

NCB Limitations on Bike Insurance

Like the advantages, the NCB in bike insurance has some limits that you should be aware of. Consider some of these constraints:

  • NCB is only accessible for Own Damage (OD) policies, not third-party policies.
  • Even one claim in a year might result in losing all your accrued No Claim Bonuses.
  • The greatest proportion of NCB you may receive in two-wheeler insurance is 50%.

Calculator for Bike Insurance No Claim Bonus

How is the NCB % for motorcycle insurance determined? The IRDAI, which means the Insurance Regulatory and Development Authority of India, has specified the number of discounts insurance companies can offer their customers based on claim-free years. The proportion of the discount grows with each subsequent year of no claims. The discount, however, will stop increasing after five consecutive claim-free years.


In conclusion, the No Claim Bonus in two wheeler insurance is an excellent way to save money on insurance costs. It rewards policyholders with a good driving record and has not made any claims in previous years. The bonus could be accumulated over multiple years, leading to significant savings. The money saved can be used to purchase additional coverage or other insurance products. Before opting for it, it is important to know of the terms and conditions of the No Claim Bonus.

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