Our No Claim Discount rewards you with savings on your car or motorcycle insurance for good driving or riding history. Our No Claim Discount savings start at 25% and go as high as 65%. We calculate your level of No Claim Discount based on the number of years you've been driving or riding and your claims and incident history.
| Level | No Claim Discount Saving |
|---|---|
| Level 1 | 65% Maximum No Claim Discount for Life |
| Level 2 | 65% |
| Level 3 | 55% |
| Level 4 | 45% |
| Level 5 | 35% |
| Level 6 | 25% |
| Level 7 | 0% |
How does No Claim Discount work?
Each year at renewal, you automatically move up to the next level of No Claim Discount if you haven't made a claim for an accident where you were at fault in that year.
If you do make a claim for an accident where you were at fault, you will move down one level of No Claim Discount, unless you are on our Maximum No Claim Discount for Life.
If you make a claim for something that's not your fault, for example, your car or motorcycle is stolen or damaged by a storm, or someone scratches the paintwork, your No Claim Discount level will not change. However, these claims will be taken into account in calculating your base premium, even if you have Maximum No Claim Discount for Life.
Any changes to your claims and incident history will be taken into account when you renew your car or motorcycle insurance with us, and your No Claim Discount level will be shown on your renewal certificate. It also takes into account the claims and incident history of any other drivers or riders of your vehicle.
How do we calculate your car insurance premium?
Your car or motorcycle insurance premium is calculated using a range of factors. One of these factors is the claims and incident history described above. Some of the other factors which we use to calculate your premium are:
- the type, age and value of your vehicle;
- where your vehicle is kept; and
- the age of all drivers.
These and other factors are reviewed each year and used to calculate what we call your base premium. Discounts are then deducted from your base premium, with your No Claim Discount being deducted after all other discounts.
Insurance issued by Insurance Australia Limited ABN 11 000 016 722 trading as NRMA Insurance. When making decisions about the product you should consider the Product Disclosure Statement available from NRMA Insurance.