Introduction
When you purchased a new car, don’t pay the full price for the policy, ensure that your NCD is available for transfer for a cheaper premium. This article explains how NCD works, how to transfer it to a new car, and what to avoid so you don’t lose your discount.
What is NCD (No Claim Discount)?
NCD is a discount that accumulates over time without ever having filed a claim to disrupt the continuous renewal.
The discount increases each year, up to a maximum of 55% for private cars.
| Years Without Claim | NCD Rate |
| 1 Year | 25% |
| 2 Years | 30% |
| 3 Years | 38.33% |
| 4 Years | 45% |
| 5 Years & above | 55% (maximum) |
Can NCD Be Transferred When Buying a New Car?
Yes – NCD can be transferred, but only if:
- Both vehicles are registered under the same owner, and
- There are no active claims or unresolved claims on the old policy.
Once old policy expired or cancelled, you may transfer the NCD to your new vehcile.
How to Transfer NCD Easily
- Check your NCD status on JPJ, MyEG, or BJAK.
- Enter your old registration number to view the current NCD rate.
- Contact your new or old insurance company to request the transfer.
- Provide supporting documents (copy of old & new car registration, IC).
- Ensure NCD available before purchase.
BJAK Advantage: If you purchase insurance through BJAK, the system automatically checks and transfers your discount to the new policy without manual forms.
What Happens If You Don’t Transfer NCD?
If you do not transfer your NCD, you will pay the full premium (0% discount) on the new car.
Moreover, if you leave it too long (more than a year without an active policy), the NCD may expire and you’ll have to start from 0%.
Frequently Asked Questions (FAQ)
- Can NCD be shared between two cars?
No. Each NCD can only be applied to one vehicle at a time. - Can NCD be transferred to a family member?
No, except in special cases such as the owner’s death (requires official supporting documents). - How long does NCD transfer take via BJAK?
Usually instant, as long as there are no issues with JPJ records or active claims.
Conclusion
Switching to a new car doesn’t mean starting over from 0%. With proper checking and NCD transfer, you can continue enjoying discounts of up to 55% without losing benefits. Use BJAK to check and transfer NCD automatically — fast, easy, and officially verified by JPJ.
Read More:
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