What is 'No Claim Bonus'?

No Claim Bonus (NCB) is a benefit to the vehicle owner for rational use of his vehicle by which helping the owner to progressively reduce the premium amount. The policy holder is entitled for a NCB if no claim is made or pending during the preceding year of the policy. 

This discount in the premium is considered 20% for the preceding year, 25% for preceding consecutive two years, 35% for preceding consecutive three years, 45% for preceding consecutive four years and 50% for preceding consecutive five years. NCB is only allowed provided the policy is renewed within 90 days of the expiry date of the previous policy.

Besides discount in premium, the insured can save on the first premium of a new vehicle bought in, as the NCB is linked to the insured and not the vehicle. For instance, the insured sells his old sedan and purchases a new car of same segment the NCB will pass on to the new vehicle.

Happy Saving!!

Fuel Efficiency Tips

While one won’t be able to control ever rising fuel prices, there are a few simple things one can do to increase the fuel efficiency, and even an improvement of just one or two kilometers per liter can really add up.

How to check?      
The recommended way to check fuel efficiency of the car is to fill, to reach the full tank level (auto-full), next note down odometer reading at that point. After driving for a few hundred kilometers top up with fuel to reach full tank level (auto-full) and note down the odometer reading once again. The difference in the two odometer readings divided by the quantity of fuel needed to top up the tank the second time will give the exact fuel efficiency. For example - If the difference in two odometer readings is 357 kilometers and the fuel quantity used for topping up fuel tank the second time is 21 litres, then the average is 17 kmpl. Similar calculation could be done over a shorter drive too, but the reading may be skewed by traffic conditions on that day. Using full-tank to full-tank readings give accurate figures.  Also try to average such readings over a long time, say a few months, rather than relying on a single reading to exactly know the fuel efficiency of the car. 
  
Fuel efficiency of the car depends on various factors : 

• Frequent stopping, hard braking and short distance travel consumes more fuel.
• Clogged air filter, worn out clutch, badly tuned engine and high pollution levels increase fuel consumption.
• Traffic conditions - The mileage will vary between heavily crowded areas and less traffic areas.
• Needless idling at traffic lights affect fuel consumption.
• Tyre pressure - Recommended tyre pressure should be maintained. Less tyre pressure will increase fuel consumption.
• High speeds at low gears consumes more fuel than driving at steady speed of 60 to 80 kmph in top gear.
• Adulterated or less quantity of fuel dispensed by fuel pumps would indicate poor fuel efficiency