How to Transfer NCD to a New Car in Malaysia.
One of the most common questions used car buyers ask is: "Can I bring my No Claim Discount (NCD) from my old car to my new one?" The answer is a resounding **YES**, and doing so can save you thousands of Ringgit on your insurance premium.
What is NCD?
No Claim Discount (NCD) is a reward system by insurance companies for drivers who haven't made any claims during the policy year. In Malaysia, your NCD can significantly reduce your motor insurance cost, reaching up to **55%** after five years of claim-free driving.
NCD Rates (Private Cars)
- 1st Year 0%
- 2nd Year 25%
- 3rd Year 30%
- 4th Year 38.33%
- 5th Year & Above 55%
Key Rule
NCD is tied to the **individual (the owner)**, not the car. However, you can only apply your NCD to one car at a time.
Step-by-Step: How to Transfer NCD
- Prepare Documents: You'll need your IC, the cover note of your current insurance, and the vehicle registration card (VOC).
- Withdraw NCD: Visit your current insurance provider (e.g., Allianz Takaful or Etiqa) to request an NCD withdrawal. They will issue an endorsement to cancel the NCD on the old car.
- Apply to New Car: Provide the endorsement or proof of NCD to your new car's insurer. They will deduct the percentage from your new premium.
- Pay Difference (if applicable): If you sold your old car but kept the insurance active, you may need to pay the 'refunded' discount amount back to the old insurer to free up the NCD.
Pro Tip: Allianz Takaful & Modern Policies
Many modern providers like Allianz Takaful allow for seamless NCD checking online through the MyCarInfo portal. At Intercontinental Motors, we assist our customers with the NCD transfer process as part of our concierge service, ensuring you get the maximum discount on your luxury car purchase.
How to Check Your NCD Online
You don't need to visit a branch to check your entitlement. You can use the MyCarInfo portal or simply ask your insurance agent to check the ISM (Insurance Services Malaysia) database.
Upgrade Your Ride Today
Found your dream car? Let us handle the NCD transfer and financing for you.
View Current Inventory