'I'm an insurance expert - this is how drivers can claw back no claims bonus after crash'

An insurance expert has revealed a little-known feature that means drivers can get back their no-claims bonus after having a crash. After an accident, your built-up no-claims discount can disappear overnight, sending premiums skyrocketing.

But Gary McClarty, director at Irish insurance provider its4women, said drivers can use Step-Back Protection as a “safety net” that could save them “thousands”.

He said: “Most people think that making one claim means starting from scratch with their no-claims discount. But Step-Back Protection means you only lose a portion of your built-up years rather than everything you've earned through careful driving.”

Step-Back Protection acts like a cushion for your no-claims discount when you make a claim. Instead of losing everything you've earned, you only step back a few years rather than dropping to zero. Five plus years without a claim steps back to three, four to two, three to one, and one and two to zero.

The expert explained: “If you've got six years of no-claims built up and you have an accident, you'll step back to three years instead of starting over completely. That's the difference between keeping significant savings and potentially watching your premiums increase.”

He said the savings can be “substantial”, meaning the difference between a manageable premium increase and a jump that could potentially increase your costs.

“We're talking about hundreds or even thousands in savings over the following years,” said McClarty.

“For someone with a good driving record, losing everything after one mistake just doesn't seem fair.”

Several types of claims won't affect your no-claims discount at all. Windscreen repairs, emergency treatment payments required by law, claims fully recovered from third parties and personal belongings or lock replacement claims don't trigger any step-back.

“If someone breaks into your car or you need your windscreen fixed, your hard-earned discount stays exactly where it is,” McClarty said.

He added: “I'd recommend Step-Back Protection for drivers who want automatic protection without paying extra premiums. However, for complete peace of mind or if you have concerns, investing in Full Bonus Protection is worth considering.”