Is There A No Claims Discount On Home Insurance?

Caeva O'Callaghan | April 3rd, 2024

Everybody loves saving money on home insurance. But will providers offer a reduced rate on your new policy if you have a clean claims history?

Yes. Any home insurance provider will offer you a no claims discount at the quote or renewal stage. This isn’t the same as a no claims bonus, so do your research before you purchase a policy.

A no claims discount will apply when you first take out the insurance policy, and is based on the number of years you’ve had cover (with any provider) without making a claim.

In this article, we’ll cover the following questions:

It doesn’t matter if you switch providers: a no claims discount is given according to the total years you’ve had home insurance without claiming, not by how many years you’ve stayed claim-free with one provider.

What is a no claims discount on home insurance?

Many people are familiar with the concept of a no claims discount when dealing with car insurance. When it comes to insuring your home, a no claims discount on your home insurance policy is pretty much the same, in that you will get a reduced rate when you first take out your policy, depending on how many years you’ve stayed claim-free.

Insurers account for how many years in total you’ve spent without making a claim: not my current provider. So, for example, if you made a claim six months ago and switch providers, your new provider won’t consider you claim-free even though you may have no previous claims with their business.

A no claims discount can mean savings of hundreds of euros for the customer, but they’re also designed in the interest of insurance companies. No claims privileges discourage smaller, less serious claims, allowing insurance companies to keep the costs of handling and administering claims down, and therefore helping to keep prices competitive.

No claims discounts are not standard – every home insurance provider will have different discounts, depending on which you choose. When you contact, we arrange different quotes from across the market to get you the best price.

What is a no claims bonus on home insurance?

A no claims bonus is different to a no claims discount in that a bonus is a reduction in the rate of insurance, year on year, as long as you don’t make a claim. It’s an ongoing discount, which reduces the money you pay further. On the other hand, a no claims discount is paid when you take out your policy, as long as you have a few years of no claims behind you.

For example, when you buy a house for the first time, you don’t have an insurance history, and have to build up a no claims bonus from scratch. As the years pass, you build up a no claims bonus so your home insurance gets cheaper every year – and if you decide to switch providers, you’d get a no claims discount on the new policy.

Once you have been claims free for three years, it will make little or no difference to the price.

How do I get a no claims discount?

The discount is automatically applied when you take out your policy. At the quotation stage – be it renewal or new business – we will ask how many years you have been claims free. Every home insurance company allows a discount for being claim-free, although the amounts will vary from provider to provider.

Of course, to qualify for a no claims discount, you have to avoid making a claim in the first place. This means avoiding risks, keeping your home insurance up to date if anything changes, and strongly considering making repairs yourself if anything goes wrong and repairs cost less than your claims excess.

Never use your insurance policy as an excuse to neglect your home. Insurance isn’t the lazy person’s home maintenance – most claims will be rejected if the insurance company suspects negligence.

Confused about home insurance? Get a Quote Online or give us a call today, and we can arrange your no claims discount. As always you can contact us on on 0818 224433 or 042 935905 Mon-Fri between from 8.30am and 5.30pm. We look forward to helping you today!

All Information in this post is accurate as of the date of publishing.