Cleverly transfer your car insurance no-claims bonus: how to save real money
14/04/25
11
Minutes
Katrin Straub
Managing Director at nextsure
Would you like to take over the favourable discounts on car insurance and reduce your premiums? Many people do not know that transferring no-claims bonus classes (SF classes) can enable significant savings of up to seventy per cent. Find out here how you can benefit legally and effectively.
The topic in brief and concise terms
Transferring a no-claims bonus (SF class) can reduce insurance costs by up to seventy percent, but it is subject to conditions such as family relationship and the length of time you have held a driving licence.
The transferor permanently loses their no-claims bonus class; the recipient can take over at most the no-claims years they could have reached themselves.
Special cases such as taking over a second car or transferring after a death are possible, but require specific documentation and deadlines.
Quick overview: The most important things about taking over insurance percentages
The transfer of discount levels on motor insurance is subject to certain conditions and can offer savings potential of often more than fifty per cent. The central role is played by the no-claims class (SF class), which rewards years without claims. A higher SF class means a lower premium rate, often amounting to several hundred euros per year. The transfer is usually possible within the family or to a partner, although the recipient cannot be credited with more years than they have held a driving licence. The person transferring the class loses their SF class irrevocably, which requires careful consideration. This mechanism is an important lever for optimising your insurance costs.
Understanding the basics: What are no-claims bonus classes?
No-claims bonus classes, or SF classes for short, reflect the number of years a policyholder has driven without making a claim. Each claim-free year leads to a better SF class and therefore to a higher no-claims bonus. [5-1] The range often extends from SF class 0 for new drivers to SF class 35 or even SF class 50 with some insurers, which can make premium rates below thirty per cent possible. [5-5,-1] These discounts apply to motor liability insurance and comprehensive insurance, but not to partial cover. [2-6] The exact level of the discount varies depending on the insurer, as each company has its own SF class table. [2-3] Understanding these basics is crucial to fully taking advantage of the benefits of a transfer.
Check the requirements: Who can transfer percentages to whom?
The possibility of transferring car insurance discounts is not unlimited, but subject to clear rules. Insurers usually only allow the transfer of the no-claims class within a narrowly defined group of people. This typically includes:
Spouses and registered partners. [4-3]
Parents and children (including stepchildren or adopted children). [2-2]
Grandparents and grandchildren.
People living in the same household (depending on the insurer).
Siblings (less common, but possible with some providers). [4-3]
A key condition is often that the recipient has regularly used the donor's vehicle. In addition, the recipient can only take over as many claim-free years as they could themselves have accumulated since obtaining their driving licence. [2-2] For example, if someone has held a driving licence for five years, they can only take over no-claims class five, even if the donor has no-claims class twenty. The exact conditions are set by each insurer individually, so it is always advisable to ask. Knowing these rules is the first step towards a successful transfer.
The transfer process: step by step to the cheaper tariff
The transfer of no-claims bonus levels in motor insurance requires a number of formal steps and documents. First, the current holder of the insurer’s SF class must notify the insurer of their wish to transfer it and sign a waiver declaration. [4-1] This irrevocably gives up their SF class and the associated discount. The recipient then applies to their (new or existing) insurer for the SF class to be transferred. The following documents are typically required:
The insurer’s completed application form (often referred to as form TB28). [4-3]
Copy of the recipient’s driving licence.
Proof of the family relationship or shared household. [4-1]
Where applicable, a copy of the death certificate if the SF class from a deceased person is being transferred. [3-1]
The insurer reviews the documents and whether the requirements have been met, in particular the recipient’s driving experience. The processing time can take anywhere from a few days to several weeks. Once the review is successful, the recipient’s policy is rated with the new, lower SF class. This process secures the premium savings you want.
Handling special cases: transferring no-claims discount for second cars and in the event of death
Special life situations require specific rules for the transfer of insurance discounts. For a second car, it is often possible to use the first car's SF class for the classification of the second car, or to obtain an improved special classification. [6-2,6-3] If the second car is later taken over by, for example, the child, the SF class earned for the second car can often be transferred. [2-2] In the event of the policyholder's death, close relatives such as the spouse or children can take over the person's SF class. [3-1,3-2] This usually requires submission of the death certificate, and the transfer must usually be applied for within twelve months of the death. [3-3,3-4] It is important that the heir actually continues to use the deceased person's vehicle and has often already driven it regularly beforehand. [3-1] These options also offer ways to save costs in complex cases.
Avoid pitfalls: What you need to consider when transferring
Although transferring a car insurance no-claims bonus can be attractive, there are a few important points to bear in mind in order to avoid disadvantages. The donor loses their SF class and discount permanently; a transfer back is excluded. [3,4-3] This should be considered especially if the donor plans to insure a vehicle again in future, as they will then be reclassified, often to SF class 0 or SF class 1/2. [2-2] The transfer is often only worthwhile for new drivers after several years of their own driving experience, as they can only count the SF years that correspond to the length of time they have held a driving licence. [2-6] Only the SF classes actually earned can be transferred, not special classifications or any granted discount protection. [-1] A transfer is also only possible once; splitting the SF class across several people or policies is not envisaged. [6-4] Careful planning protects against unwanted consequences.
The transfer of no-claims classes is common practice, but it is not a legal obligation for insurers. [2-5] The exact terms and conditions are set out in the General Motor Insurance Conditions (AKB) of the respective insurer, but they often follow the recommendations of the German Insurance Association (GDV). [-2] Our expert tip: Always clarify the exact arrangements and deadlines in advance with both insurers involved. A deadline for transfer after the contract termination of the transferor is often six to twelve months. It is also possible to take the SF class when changing insurers with you, but the new insurer will only recognise the “genuine” claim-free years, not any special classifications. [-1,6-2] Check whether a transfer to a company car with the option of later retransfer is possible if you use a company car. [-3] This detailed knowledge helps you get the most out of it.
Unlock optimisation potential: When is an acquisition particularly worthwhile?
Transferring the no-claims bonus level of motor insurance is particularly advantageous in certain scenarios and can lead to significant savings. A classic case is the transfer from parents or grandparents to children or grandchildren who already have several years of driving experience. [2-2,2-3] This allows young drivers to avoid the often expensive move into low SF classes and benefit from lower premiums from the outset, which can be up to fifty per cent lower. Even if a person stops driving for reasons of age or health, passing on the SF class is a sensible option to avoid losing the discount built up over many years. [2-6] Another use case is a transfer between partners, for example when a vehicle is re-registered in the partner's name with the better SF class. The savings here can quickly amount to several hundred euros per year. Careful review of these scenarios can reduce your insurance costs in the long term.
Your next step towards lower premiums
You now have a comprehensive insight into how to transfer the no-claims bonus on a car insurance policy and thereby optimise your insurance costs. Transferring the no-claims discount class is an effective tool that, when applied correctly, delivers clear financial benefits. It requires a thorough review of the eligibility criteria and careful consideration of the consequences for all parties involved. With the knowledge provided here, you are well equipped to make the right decisions for your individual situation and make full use of the savings potential. Take advantage of this opportunity for lower premiums now. Request an individual risk analysis: have your insurance situation checked free of charge and receive specific suggestions for optimisation.
More useful links
Finanztip offers comprehensive information on transferring the no-claims bonus.
On the website of The Insurers (GDV) you will find a current news article on the topic of the no-claims bonus.
The GDV explains in detail how the insurance premium for a car is made up and which factors influence it.
The Consumer Service Bavaria provides ten important and practical tips on motor vehicle insurance.
Destatis (Federal Statistical Office) offers an official press release with relevant statistical data.
The official portal Laws on the Internet of the Federal Ministry of Justice provides the full text of the Compulsory Insurance Act (PflVG).
FAQ
What documents do I need to transfer the no-claims bonus on car insurance?
You will generally need a completed application form (often TB28), a waiver statement from the donor, copies of both parties’ driving licences, and proof of the family relationship or shared household. In the case of a transfer upon death, a death certificate is also required.
Is it worth transferring no-claims bonus for new drivers?
For complete novice drivers, transferring it is often only of limited benefit, as they are credited with only a few years or none at all. It is usually more sensible if the novice driver can already prove several years of driving experience and, therefore, possession of a driving licence.
Can I take the transferred no-claims bonus class to another insurer?
Yes, the no-claims bonus class you have transferred can usually be taken to the new provider when you change insurers. However, the new insurer will only recognise the actual, regular no-claims years accrued, not any special classifications.
Is the transfer of insurance percentages free of charge?
The transfer of the no-claims bonus class itself is free of charge with most insurers. However, indirect costs may arise due to contract changes or the new premium calculation.
What is the difference between no-claims class and no-claims discount?
The no-claims class indicates the number of claim-free years. The no-claims discount is the percentage reduction on the insurance premium that results from the no-claims class. The no-claims class is transferred; the actual discount in percentage terms can vary depending on the insurer.
Can you also transfer only part of the percentages?
No, a partial transfer or division of the no-claims bonus class is not possible. Only the entire SF class of the transferring policy can always be transferred to a new policy.
