Introduction
No Claim Discount (NCD) is a valuable insurance benefit for every driver. However, NCD can be lost without you even realizing it, and many drivers still don’t know how to stop this from happening. Therefore, this article explains the common reasons NCD disappears and the practical steps you can take to keep it safe.
1. Common Situations Where NCD Can Be Lost
NCD can be lost in several scenarios:
- Claims without proper procedure – Filing an OD claim without following official channels.
- Policy expiry – A gap in renewal may cause NCD to be reduced or lost.
- Changing cars without endorsement – NCD can only be transferred under the same NRIC and vehicle class.
Tip: Always check your policy and NCD before making a claim or changing vehicles.
2. How to Prevent NCD From Being Lost
- Use official channels – Submit all claims through BJAK or your insurer to ensure proper recording.
- Check claim status – NCD remains intact if claims are correctly categorized.
- Consider NCD Relief / Withdrawal – Some policies allow NCD to be transferred or protected through endorsement.
Note: Avoid making OD claims for minor damage that isn’t necessary, as it can affect your NCD.
3. Additional Tips
- Keep records of your old policy and NCD proof before making a claim.
- Plan renewals early to avoid gaps.
- Understand your rights: if an accident isn’t your fault, your NCD usually won’t be affected.
Conclusion
With a little awareness and proper management, your NCD can actually be saved even after a claim or minor accident. In fact, as long as you follow the right steps, the discount usually stays protected. Therefore, always use official channels, regularly check your claim status, and most importantly, understand your rights so your insurance discount remains intact.
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