Introduction
No Claim Discount (NCD) is one of the most effective ways for drivers to save on insurance premiums. When changing vehicles, it’s crucial to know how to transfer NCD to a new car to prevent losing your discount. This article explains the requirements, procedure, and BJAK tips to make the process simple and secure.
1. Conditions for NCD Transfer
- NCD can only be transferred under the same NRIC and to the same vehicle class.
- NCD cannot be transferred directly from an active policy. To allow transfer:
- Cancel the old policy, or
- Obtain an NCD withdrawal endorsement from the previous insurer.
- Cancel the old policy, or
- Present the withdrawal slip to the new insurer once you release the NCD.
- Transfer is only valid before purchasing or renewing a new policy, not while the new policy is already active.
2. NCD Transfer Procedure
- Check NCD status: Use BJAK for online verification to avoid mistakes.
- Handle old NCD: Obtain a withdrawal endorsement or cancel the old policy.
- Purchase new vehicle: Present the withdrawal slip for the new policy before payment.
- Confirmation by new insurer: pply the old NCD to the new policy, which sets the previous policy’s NCD to 0%.
3. BJAK Tips for NCD Transfer
- Avoid gaps in renewal: Gaps over a year can reduce or invalidate your NCD.
- Verify all documents: Check that the new insurer accepts the withdrawal slip and that all paperwork is complete.
- Compare policies with BJAK: Choose the insurer that best fits your NCD history.
- Plan your car purchase: Complete the transfer process before activating the new policy.
Conclusion
Transferring NCD to a new car requires careful planning and complete documentation. BJAK simplifies the process of checking NCD, obtaining endorsements, and transferring it to a new policy, ensuring your premium discount remains and insurance protection stays optimal.
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