How long no-claims bonus lasts without insurance in Australia and UK is 2 years without insurance, with some insurers allowing 3 years, after which bonus expires and you lose discount 20% to 60% saving $160 to $900 per year on comprehensive $800 to $1,500 per year. No-claims bonus, also called no-claims discount NCD, is discount for claim-free years 20% for 1 year, 30% for 2 years, 40% for 3 years, 50% for 5 years, 60% for 6+ years, saving $160 to $900 per year on $800 to $1,500 comprehensive premium. For example, comprehensive $1,000 per year, 5 years no claims 50% discount = $500 premium saving $500 per year, if you sell car and have no insurance for 1 year, you keep 50% discount if you buy new car within 2 years, paying $500 for new car, but if you have no insurance for 3 years, bonus expires and you lose 50% discount, paying $1,000 instead of $500, losing $500 saving per year. In Australia, insurers like NRMA, Allianz, Budget Direct, Youi allow no-claims bonus to last 2 years without insurance, with some UK insurers like Aviva, Direct Line allowing 3 years, after which bonus lapses and you start at 0 years 0% discount. So no-claims bonus lasts 2 years without insurance in Australia and UK, with some allowing 3 years, after which you lose discount 20% to 60%, so if you have break in insurance more than 2 years, you lose bonus and pay full premium $800 to $1,500 versus $400 to $600 with 50% to 60% discount, so maintain continuous cover or buy car within 2 years to keep bonus.
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