NCD Calculator Malaysia
The NCD for a private car is 25%, 30%, 38.33%, 45% and a maximum of 55% after 1 to 5 claim-free years; motorcycles top out at 25%. On a RM2,000 gross premium, 55% NCD saves RM 1,100.00 and you pay RM 982.00 including 8% SST. One claim costs RM 2,952.07 in extra premium. Enter your policy below.
Your NCD and premium
No claim discount
Total to pay RM 982.00 · You save RM 1,100.00 · next year 55% if you make no claim
| Gross premium (before NCD) | RM 2,000.00 |
|---|---|
| NCD discount (55%) | − RM 1,100.00 |
| Premium after NCD | RM 900.00 |
| SST 8% | RM 72.00 |
| Stamp duty | RM 10.00 |
| Total to pay | RM 982.00 |
Pay it yourself: the RM 2,000.00 repair costs less than the RM 2,952.07 extra premium from losing your NCD.
| Year | No claim | After a claim | Extra |
|---|---|---|---|
| Renewal 1 | 55% | 0% | RM 1,188.00 |
| Renewal 2 | 55% | 25% | RM 648.00 |
| Renewal 3 | 55% | 30% | RM 540.00 |
| Renewal 4 | 55% | 38.33% | RM 360.07 |
| Renewal 5 | 55% | 45% | RM 216.00 |
| Total | RM 2,952.07 | ||
| Claim-free years | NCD | You pay |
|---|---|---|
| 0 years | 0% | RM 2,170.00 |
| 1 year | 25% | RM 1,630.00 |
| 2 years | 30% | RM 1,522.00 |
| 3 years | 38.33% | RM 1,342.07 |
| 4 years | 45% | RM 1,198.00 |
| 5 years or more | 55% | RM 982.00 |
The claim cost assumes the gross premium stays the same; it excludes the policy excess.
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Motor insurance NCD table
| Claim-free years | Private car | Motorcycle | Commercial vehicle |
|---|---|---|---|
| 0 years | 0% | 0% | 0% |
| 1 year | 25% | 15% | 15% |
| 2 years | 30% | 20% | 20% |
| 3 years | 38.33% | 25% | 25% |
| 4 years | 45% | 25% | 25% |
| 5 years or more | 55% | 25% | 25% |
NCD moves at each renewal: every claim-free policy year takes you up one step. A new car starts at 0%, so the first 25% applies at the renewal after one full claim-free year.
How the premium after NCD is worked out
- NCD discount = gross premium × NCD percentage.
- Net premium = gross premium − NCD discount.
- SST = 8% × net premium.
- Total = net premium + SST + RM10 stamp duty.
Example: RM2,000 gross premium at 55% NCD → RM1,100 discount, RM900 premium, RM72 SST, RM982 in total.
Total premium by NCD
| Gross premium | 0% | 25% | 30% | 38.33% | 45% | 55% |
|---|---|---|---|---|---|---|
| RM 800.00 | RM 874.00 | RM 658.00 | RM 614.80 | RM 542.83 | RM 485.20 | RM 398.80 |
| RM 1,500.00 | RM 1,630.00 | RM 1,225.00 | RM 1,144.00 | RM 1,009.05 | RM 901.00 | RM 739.00 |
| RM 2,000.00 | RM 2,170.00 | RM 1,630.00 | RM 1,522.00 | RM 1,342.07 | RM 1,198.00 | RM 982.00 |
| RM 3,000.00 | RM 3,250.00 | RM 2,440.00 | RM 2,278.00 | RM 2,008.11 | RM 1,792.00 | RM 1,468.00 |
| RM 4,000.00 | RM 4,330.00 | RM 3,250.00 | RM 3,034.00 | RM 2,674.14 | RM 2,386.00 | RM 1,954.00 |
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Should you claim or pay yourself?
After a claim the NCD drops to 0% and takes five years to climb back to 55%. The extra premium over those years is what the claim really costs. If the repair costs less, paying yourself is cheaper.
| Gross premium | Cost of a claim at 38.33% NCD | Cost of a claim at 55% NCD |
|---|---|---|
| RM 1,000.00 | RM 1,368.04 | RM 1,476.04 |
| RM 2,000.00 | RM 2,736.07 | RM 2,952.07 |
| RM 3,000.00 | RM 4,104.11 | RM 4,428.11 |
| RM 4,000.00 | RM 5,472.14 | RM 5,904.14 |
NCD rules to know
- The NCD is yours, not the car's. When you change cars, ask for an NCD withdrawal from the old policy to use on the new car in your name.
- Own-damage, theft and disaster claims reset the NCD to 0% at the next renewal.
- Windscreen claims under windscreen cover, and claims against the at-fault driver's insurer, usually leave the NCD intact.
- Late renewal can cost you the NCD; renew before the policy expires.
- Since motor premiums were liberalised, each insurer sets its own gross premium, but the same NCD scale still applies.
Sources
Disclaimer: An estimate only. Your insurer or takaful operator sets the actual premium, excess and NCD terms. Confirm your current NCD with your insurer before buying a policy.
Frequently asked questions
What are the NCD rates for car insurance in Malaysia?
For private cars: 25% after 1 claim-free year, 30% after 2, 38.33% after 3, 45% after 4 and a maximum of 55% after 5 or more. A new car, or a car after a claim, starts at 0%.
How is NCD calculated?
Multiply the gross premium by the NCD percentage, take it off the gross premium, then add 8% SST and RM10 stamp duty. On a RM2,000 gross premium with 55% NCD, the discount is RM1,100, the premium RM900, SST RM72 and the total RM982.
What is the NCD for motorcycles?
Motorcycles and commercial vehicles get 15% after 1 claim-free year, 20% after 2 and a maximum of 25% after 3 or more. On a RM300 gross premium at 25% NCD, the total is RM 253.00.
What happens to my NCD if I make a claim?
An own-damage or theft claim resets the NCD to 0% at the next renewal; it then climbs back through 25%, 30%, 38.33%, 45% and 55% with each claim-free year. On a RM2,000 gross premium at 55% NCD, one claim costs RM2,952.07 in extra premium over five years.
Should I claim insurance or pay for the repair myself?
Pay yourself if the repair costs less than the extra premium from losing your NCD. On a RM2,000 gross premium the threshold is RM2,952.07 at 55% NCD and RM 2,736.07 at 38.33% NCD. Damage above that is worth claiming.
Can I transfer my NCD to a new car?
Yes. The NCD belongs to the policyholder, not the car. When you sell or replace a car, ask your insurer to withdraw the NCD from the old car's policy so it can be used on a new car registered in your name.
Which claims do not affect my NCD?
Usually a windscreen claim under windscreen cover, and a third-party claim made against the at-fault driver's insurer, do not affect your NCD. Own-damage, theft and flood claims without an NCD protection add-on reset it to 0%. Check your policy terms.
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