Commiserations, Andy. Something else you could do without!
I'm a bit confused though - are you saying you've got protected no claims, but if you make a claim, you;'ll lose some of your NCD? Or you're OK on the first knock (this one), but you'd lose it on a subsequent one? If that's the case I'd make the claim (unless it's under your excess) - that's what the insurance is for, isn't it? It's all a numbers game - what's the chance of either of you having another accident...
I hate insurance. You pay a load of dosh and all you get is a piece of paper in return - and then, having laid out the money, you try your hardest not to have to use the product!!!

Andy, look on the bright(er) side - it wasn't the R8