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GLOSSARY

No-Claim Bonus (NCB)

✓ Last verified 14 Sep 2026
The short version No-claim bonus rewards a claim-free year with either an increased sum insured or a premium discount at renewal - and it's specifically protected when you port your policy to a new insurer.

A claim-free policy year commonly earns either a percentage increase in sum insured (at no extra premium) or a discount on the renewal premium, depending on the specific policy's structure. This accumulated benefit is one of the things explicitly protected under IRDAI's portability rules - see our portability glossary entry - so switching insurers at renewal doesn't reset years of claim-free history back to zero.

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