# What is a no-claims bonus on car insurance?

> Quick answer · Last updated 4 July 2026

Canonical HTML: https://moneyguide.org.uk/answers/what-is-no-claims-bonus-car-insurance/
Markdown mirror: https://moneyguide.org.uk/answers/what-is-no-claims-bonus-car-insurance.md

## In short

A discount for each year you do not claim — often building to 60%–70% off after five or more claim-free years. Proof is required when switching insurers.

One at-fault claim typically steps you back two to three years on the discount scale.

Protected no-claims bonus costs extra but limits step-back after a claim.

See no-claims bonus explained guide.

## Related

- [No-claims bonus guide](https://moneyguide.org.uk/cars-motoring/no-claims-bonus-explained/)
- [Compare car insurance](https://moneyguide.org.uk/cars-motoring/compare-car-insurance-guide/)

## Primary source

gov.uk/vehicle-insurance

---

Independent UK money guidance from [Money Guide](https://moneyguide.org.uk). Information only — not regulated financial advice.