Insurance glossary

N

Named driver

A driver has been named on an insurance policy but who is not the owner of the vehicle.

New for old (motor)

Rather than pay the market value of a new car involved in a total loss, some insurers will replace it with an identical new car. If it is a brand new vehicle the market value of this vehicle will have depreciated so much in the first year, that it would leave the policy holder unable to replace the car.

New for old (property or possessions)

This means that in the event of a claim, the Client is paid the money needed to buy the items in the shops at today's prices, regardless of the age or original purchase price of the item.

No claims bonus

A no claims bonus (or NCB) is the discount that you have earned on a previous insurance policy for not making a claim. These discounts are determined by the number of years that you have not made a claim for.

Non-fault claim

This is a claim whereby the insurance company is able to recover all the costs from another party.