Key facts at a glance

• Private hire no claims discount (NCD) lowers the price of your private hire insurance for each claim-free year you can prove.
• On annual policies, Zego gives private hire drivers its maximum NCD discount at five claim-free years.
• Zego also lets you earn one year of private hire NCD from 12 consecutive 30-day policies.
• Zego NCD protection is an optional extra that protects up to five years of NCD for one at-fault claim.
• Taxi and private hire NCD builds separately from the NCD on your own car.

By law, you need private hire insurance to carry passengers for payment. When you buy a policy or switch insurer, you will be asked how many years of private hire NCD you have built up. That answer can make a big difference to your price.

This guide covers how the discount is earned and how it differs from your car NCD. It also covers what counts as proof and how to keep it after a claim.

What is No Claims Discount?

No Claims Discount (sometimes called No Claims Bonus) is a reduction on your premium for each year you have held cover without making a claim. The longer you go without a claim, the bigger the discount.

Private hire drivers will have NCD that is specific to their work as well as their personal NCD. Insurers will usually ask how many years of taxi NCD the driver has built up, which is accrued separately from their personal No Claims Discount.

Does my car no claims discount count for private hire?

Not automatically. Car NCD shows you have been claim-free on social, domestic and pleasure cover. Private hire NCD shows you have been claim-free while carrying paying passengers, which insurers price as a different risk.

So the two are recorded separately. Ten clean years in your own car do not become ten years of private hire NCD. Whether an insurer gives any credit for car NCD is that insurer's decision, so ask before you buy.

Starting at zero? Our guide to private hire insurance for new drivers covers the first year.

Can I use one no claims discount on two policies?

Usually not. An NCD is normally used on one live policy at a time. If your car NCD already discounts your car insurance, expect an insurer to treat it as in use. It is not spare years for a second policy.

How does my No Claims Discount affect the price of my insurance?

The amount of discount you get on your premium depends on how many years NCD you are entitled to. More years without a claim against your PH insurance policy translates into a higher discount when you switch or renew.

The discount for each year varies between insurers, and sometimes between products. On annual policies, Zego gives private hire drivers its maximum discount once they can prove five years without a claim.

What happens to my No Claims Discount if I make a claim on my policy?

If you or a third party makes a claim on your policy, you are likely to lose some or all of your NCD, depending on your insurer's rules. That means a smaller discount, or none, when you next renew or switch.

You can reduce the impact of a claim by adding No Claims Discount Protection when you buy your policy, alongside the level of cover you choose. It lets you keep your NCD years after a claim, up to the limit the policy sets.

Protection keeps your discount years. It does not freeze your price. Your premium can still go up after a claim, because the claim itself becomes part of your history.

Can I protect my No Claims Discount with Zego?

Yes. NCD protection is an optional extra on Zego private hire insurance. You can protect up to five years of NCD and still make one claim where you are at fault. It sits alongside our other optional extras, such as breakdown cover and a replacement car licensed for private hire.

How can I get proof of my No Claims Discount?

You can get proof of your NCD from your previous insurer. Different insurers may send it out to you in different ways. They may include your proof of No Claims Discount in your renewal or cancellation letter, send a specific proof of No Claims Discount letter, or only send proof if you request it.

A proof of NCD letter only helps if it shows what your new insurer needs. Check that it includes:

• your name, as the policyholder
• the insurer's name and your policy number
• the start and end dates of the policy
• the number of claim-free years
• that the cover was for private hire or taxi use, not only social, domestic and pleasure

Ask for it before your old policy ends, so it is ready when you get your new quote.

Can I get proof of No Claims Discount from 30-day cover with Zego?

Yes. NCD proof is usually issued when an annual policy ends. Zego also lets you earn one year of private hire NCD from 12 consecutive 30-day policies. The rule says consecutive, so a break between policies may stop them counting towards the year. Check before you let cover lapse.

How can I make the most of my NCD?

Before you renew or switch:

1. Get your proof of NCD from your current insurer.
2. Check it shows private hire use and the right number of years.
3. Decide whether NCD protection is worth it for the years you have built.
4. If you buy 30-day cover, renew back to back so the policies count towards a year.

Then put your NCD to work with Zego private hire insurance. Standard and Zego telematics both come as 30-day or annual cover, and both include private hire, delivery and personal driving in one policy. With telematics, the app looks at how smoothly you drive, and your renewal price reflects how you actually drive.

Last Updated: 24th September 2026