Your no claim discount (NCD) will go up each time you renew if you have not made a claim in the last 12 months.
When you reach 40% NCD you can protect your discount for an extra premium.
If you make a claim
Your discount stays the same, but not the cost of your premium.
- you’ve got 40% discount on your premium, discounted to £150, based on a standard premium of £250
- you make a claim you’ve protected your no claim discount, so you keep your 40% discount
- the cost of your policy may go up at renewal. Next year you’ll pay £156 based on a standard premium of £260 even though you’ve still got a 5 year no claim discount.