[1] EXCESS

[2] NO CLAIMS BONUS DISCOUNT

[3] PREMIUMS

 

Many of us from when we were in the Insurance Industry have learned that customers totally misunderstood the Not At Fault Claims Process and how it may affect your Premiums. Most of the customers had absolutely no idea about the fact that Premiums were impacted and believed Insurance Claims Services came without a price.

 

Unfortunately, they were wrong.

 

In General, there are 3 Different Types of Impacts from Lodging an Insurance Claim:

 

1 - Excess: When you are Not At Fault, Insurers will waive your Excess as long as you are able to provide the following of the At Fault Driver's Details:

[1] Full Name

[2] Address

[3] Vehicle Registration

[4] Contact Details (This Is No Longer A Requirement With Most Insurers Today)

 

Now this and the next part is what confuses many customers out there. Waiving excess does not mean that your Premiums won't increase.

 

2 - No Claims Bonus Discount: When you are Not At Fault, your No Claims Bonus Discount does not get impacted.

 

What this means is that you're No Claims Bonus Discount Rate will remain the same but this does not mean that your Premiums won't get increase either.

 

3 - Premiums: You will realise that your Insurance Policy PDS will only mention above two points when it comes to lodging Not At Fault Claims with your Insurer.

 

The reason for this is because your Premiums do actually increase with every claim lodgement and each lodgement will stay on your record for 5 years. Insurance Representatives are trained not to let the customers know about this unless they have been asked specifically about it. 

 

Moreover, the increase takes effect the following year at Policy Renewal Date which is another reason why so many customers fail to notice the connection between the two.

 

This is just one of the examples on how using Accident Management Specialists like Not At Fault Accident (NAFA) can help save costs significantly.