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Car insurance no-claims discount

A no-claims bonus discounts your premium, but should you go out of your way for it?

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If you’ve been claim-free for three to five years, you may be eligible for rewards up to 20% in savings. Plus, the longer you go without a claim, the more you can save. But finding an insurance company with a no-claims bonus doesn’t always mean you’re getting the best value on coverage.

Which companies offer no-claims discounts?

Most companies give discounts to their customer based on how long they go without making a claim, though some take upwards of five years to begin saving you money.

  • Allstate. Safe driver discounts with Allstate could save you up to $200 or 15% each year, and accident forgiveness prevents rates from going up even after an insured driver is found at fault for an accident. How many accidents are forgiven depends on your level of coverage.
  • Esurance. Start saving up to 20% on your premiums with discounts from Esurance when you maintain claim-free coverage for five years or more — available in 10 states, most recently including Pennsylvania. Since Esurance’s merger with Allstate Insurance in 2011, the brand’s offerings are expanding; check with an agent or a provider representative to learn more.
  • Progressive. With progressive’s list of discounts, you can opt into a loyalty rewards program that helps customers keep their rates down when claims are resolved quickly and at low cost; you could see a 10% to 15% reduction in your premiums by staying claim-free for more than five years.
  • Geico. With Geico’s discounts, you can opt into its safe driver discount and save up to 26% off your car insurance by being accident-free for five years.
  • Liberty Mutual. This company doesn’t specify how much you can save by being a good driver, but Liberty Mutual’s list of discounts does include an accident-free discount as well as a violation-free discount.

Is a no-claims bonus worth it?

If you’re planning on staying with your insurer, you could save anywhere from 15% to 20%, just by being claims-free. However, the key to cheap car insurance is to shop around every year. If you’ve worked hard to build your discount, you might be less inclined to switch to an insurer that will recognize your discount the same way. This means your insurance options are a lot more limited, and you’ll likely pay more in the long run.

It still may be worth it to switch for significant savings even if the timer for your no-claim discount will restart at a new company. In some cases, your new insurer may recognize your no-claims discount and clean driving record.

Best no claims discount: Progressive

Discover coverage that’s broader than competitors, valuable discounts up to 30% off and perks like shrinking deductibles that reward no claims.

  • Broad coverage, including for custom car parts or ridesharing
  • Transparent pricing tools that help you buy within budget
  • Accident forgiveness on small claims or for staying claim-free
  • Stack a variety of discounts for multiple cars, autopay or homeownership

How do I get a no-claims discount?

If you haven’t filed a claim with your car insurer for an extended amount of time and are eligible for a claim-free discount, your insurer should provide proof of your bonus before your next renewal. However, not all insurers will automatically send you a proof of your no claims discount. If you aren’t sent proof of your no-claims discount, you can request a statement highlighting your no-claims rating. When you switch car insurance, your old insurer can pass this along to the new insurer.

Get quotes for car insurance with a no-claims discount

Name Product Roadside assistance New car protection Accident forgiveness Safe driver discount Available states
Progressive
Optional
30%
All 50 states
Discover coverage that’s broader than competitors, valuable discounts up to 30% off and perks like shrinking deductibles that reward no claims.
Esurance
40%
All states except AK, DE, HI, MT, NH, VT, WY
Take advantage of this online company's low base rates and mobile tools like app-based telematics and teen safe driver programs.
Allstate
13%
All 50 states
Your dedicated agent can help you find the best savings with multiple discounts and rewards programs.
Liberty Mutual
Optional
30%
All 50 states
Earn free accident forgiveness after five years claims-free and customize your policy anytime online at the tap of a button.
USAA
Optional
Yes
All 50 states
Affordable car insurance with highly rated customer service for military members and their families. Only available to military members, veterans and affiliated military members.
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Compare up to 4 providers

Do not-at-fault claims count?

Generally, your discount won’t be reduced for claims where you were not at fault. This means you can still make weather-related claims or accident claims where the other driver was clearly at fault without losing your no-claims discount. However, the exact types of claims you can make without losing your discount will be different depending on the insurer.

Pros and cons of no-claims discounts

The good
  • Can get you a significant discount
  • Can be protected with various coverage options
  • Will not necessarily be lost if you have to make a no-fault claim
The not-so-good
  • Might deincentivize you from shopping around and saving
  • Policies with a no-claims discount aren’t necessarily the best
  • Even with a no-claims discount, your premiums could still increase after an accident

    What kinds of no-claims discounts can I get?

    Because discount types and terms vary between providers, we’ve outlined a few different ways you can get a discount for keeping your claims to a minimum. Not all kinds of discounts are available everywhere in the US. To find out if one of these discounts is available where you live, contact your provider, or include these discounts in your must-have list when you’re shopping for a new policy.

    Safe driver discount or disappearing deductible

    With this kind of discount, you’ll get a rate break or deductible reduction as long as you’re not involved in any accidents. For some insurance providers, like Allstate, you can take $100 off your deductible and even get a cash discount for each year you’re accident-free.

    This kind of discount also allows for claims not related to safe driving, such as theft, vandalism or inclement weather damage like hail and lightning, without affecting your eligibility for a safe driver discount.

    No claim or claim-free bonus

    Some companies, like Esurance, will give you a discount of up to 20% off your premiums if you maintain your policy with no accidents or claims for five years. This is the most direct kind of claim-free discount, but it also takes multiple years of safe driving and consistent coverage to qualify.

    Accident forgiveness

    While it might not technically be a discount, this policy feature is a reward for maintaining your coverage and being claim-free, often for two or three years. When you’re in an accident, especially one that requires you to file an insurance claim, you often see your rates increase to cover the slight jump in risk to the provider; this discount protects the driver from any increase in cost because of the track record for safe, claim-free driving.

    Bottom line

    If you’re a safe driver who’s had no claims or accidents in years, you deserve to save money on your premiums.

    But when it comes to discounts for staying claim-free, not all providers are created equal — and by comparing the discounts of several insurance companies, you could find a truly great value on your coverage.

    Visit our comprehensive guide to car insurance to learn more about car insurance, including policy terms, coverage options, rates and discounts.

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    Common questions about the no-claims bonus

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