Does Making a Claim Increase Car Insurance?
Yes, making a claim will almost always increase your premium at renewal. At-fault claims typically push premiums up by 20-50%, while non-fault claims can still add 5-15% even though you were not to blame.
Every claim is recorded on the Claims and Underwriting Exchange (CUE) database, which insurers check when quoting. The record stays for six years, though its impact on pricing fades over time.
How much you pay after a claim depends on the type, the value, and your driving history. Our guide to car insurance costs explains how insurers calculate premiums.
Yes, and a non-fault claim can still move the price, because insurers price on the fact you were involved at all.
A claim stays on your record around five years and costs you the no-claims discount unless it is protected. Below roughly double your excess, paying for the repair yourself is usually cheaper across the following three renewals.
Compare car insurance quotes and see how a claim actually prices.
- How much does a claim increase your premium?
- Will a non-fault claim increase your insurance?
- How long does a claim stay on your record?
- What happens to your no-claims bonus after a claim?
- Should you claim or pay out of pocket?
- How can you reduce the impact of a claim on your premium?
- Frequently asked questions (FAQs)
How much does a claim increase your premium?
At-fault claims cause the largest increases, typically 20-50% at your next renewal. Non-fault claims usually add less, and windscreen-only claims often have no effect at all.
What are the typical increases by claim type?
| Claim type | Typical premium increase | NCB impact | CUE record duration |
| At-fault (collision) | 20-50% | Lose 2 years of NCB | 6 years |
| At-fault (single vehicle) | 20-40% | Lose 2 years of NCB | 6 years |
| Non-fault (costs recovered) | 0-10% | Usually unaffected | 6 years |
| Non-fault (costs not recovered) | 5-15% | May lose 1-2 years | 6 years |
| Windscreen only | 0% | Unaffected | 6 years |
| Theft | 10-25% | Lose 2 years of NCB | 6 years |
The ABI reported that UK motor insurers paid out a record £11.7 billion in claims during 2024. Rising repair costs mean even small claims now carry higher values, which pushes premium increases further.
Does the claim value matter?
Yes, a £500 bumper repair will increase your premium less than a £5,000 write-off. Insurers assess claim value alongside fault status when calculating your renewal price.
Will a non-fault claim increase your insurance?
In most cases, yes. Even though the accident was not your fault, many insurers still increase your premium because the CUE record signals increased statistical risk.
Why does a non-fault claim still raise your premium?
Insurers argue that drivers involved in any incident are statistically more likely to be involved in another, regardless of who was at fault. The CUE database does not distinguish between good and bad luck.
Some insurers treat non-fault claims where all costs have been fully recovered from the third party as neutral. Ask your insurer how they classify recovered non-fault claims before assuming the worst.
Can you dispute a non-fault premium increase?
If you believe your premium increase is unfair, you can complain to your insurer first, then escalate to the Financial Ombudsman Service if the response is unsatisfactory.
How long does a claim stay on your record?
Claims are recorded on the CUE database for six years from the date of the incident. The premium impact usually peaks in the first two years and fades gradually after that.
How does the impact change over time?
In years one and two, you will see the largest premium increase. By year three, many insurers treat the claim as less relevant.
After five to six years, the record drops off the CUE database entirely and should no longer affect your quotes. Staying claim-free during this period is the fastest way to recover.
Do you have to declare old claims?
Yes, under UK insurance law you must disclose all claims within the past five years when applying for a new policy.
Failing to disclose is treated as fraud and can void your cover.
What happens to your no-claims bonus after a claim?
An at-fault claim typically reduces your no-claims bonus by two years. A driver with five years of NCB would drop to three years, losing a discount worth hundreds of pounds.
How much is your NCB actually worth?
| Years claim-free | Typical NCB discount | Example premium (£650 base) |
| 0 | 0% | £650 |
| 1 | 30% | £455 |
| 2 | 40% | £390 |
| 3 | 50% | £325 |
| 4 | 55% | £293 |
| 5+ | 60-65% | £228-£260 |
Losing two years of NCB after a claim means jumping from a 60% discount back to a 40% discount. On a £650 base premium, that is an extra £130 per year.
Our tips to lower your premium cover how to rebuild your discount faster.
Is NCB protection worth buying?
NCB protection typically costs £20-£50 per year and keeps your bonus intact after a claim. However, it does not prevent premium increases, so your base rate can still rise.
Most protected NCB policies allow one or two claims before protection is lost. Check whether the protection transfers if you switch insurers, because many providers do not honour another insurer’s protection.
Should you claim or pay out of pocket?
For minor damage, paying out of pocket is often cheaper than claiming. Add your excess to the likely premium increase over three to five years, then compare that total against the repair cost.
How do you calculate the break-even point?
| Scenario | Repair cost | Excess | Insurer pays | Premium increase (3 years) | Total cost of claiming |
| Small bumper repair | £400 | £350 | £50 | £450 (£150/yr) | £800 |
| Moderate panel damage | £1,500 | £350 | £1,150 | £600 (£200/yr) | £950 |
| Major collision repair | £4,000 | £350 | £3,650 | £750 (£250/yr) | £1,100 |
In the first scenario, claiming costs £800 total while the repair is only £400. Paying out of pocket saves £400 over three years.
You must still report any accident to your insurer, even if you choose not to claim. Reporting is not the same as claiming and should not affect your premium.
How can you reduce the impact of a claim on your premium?
Shop around at every renewal, because different insurers treat claims history differently. When comparing car insurance quotes after a claim, you may find one insurer charges 30% more while another adds only 10%.
What practical steps can you take?
Stay claim-free to rebuild your NCB. Each year without a claim restores one year of discount, and after three clean years the impact of a previous claim drops noticeably.
Consider a black box policy if your premium has risen sharply. Telematics insurance rewards safe driving behaviour and can offset the increase from a recent claim.
Frequently Asked Questions (FAQs)
Most insurers treat windscreen claims separately and they do not affect your no-claims bonus or premium. Check your policy terms, because a small number of insurers handle this differently.
No, all claims are recorded on the CUE database for six years. Insurers check this during underwriting, and failing to disclose a claim is insurance fraud that can void your policy.
No, reporting an incident is not the same as making a claim. You must report accidents to your insurer even if you do not intend to claim, and reporting alone should not affect your premium.
If you share a joint policy, yes. On separate policies, a partner’s claim is recorded against their name on the CUE database and should not directly affect your premium.
The CUE record lasts six years, but most insurers reduce the impact after three years. After five to six years, the record is removed and should have no effect on your quotes.
It depends on the cost and your risk profile. NCB protection keeps your bonus intact after a claim but does not prevent premium increases, so weigh the £20-£50 annual cost against the value of your current discount.