We put so much money and effort into purchasing a car and it wouldn’t be right if we don’t protect it. Although, car insurance is mandatory for every vehicle you see on the road it’s a wise practice regardless.
Car insurance is broadly classified into two categories, third party liability insurance, and comprehensive insurance.
Third-party liability insurance provides benefits only to the third party and not the policyholder and as the name suggests, a comprehensive policy protects us from various unforeseen situations. Hence it's recommended having a comprehensive one that protects you (the policyholder) from accidents, theft, and other damages.
One should be cautious not only while purchasing a car insurance policy but also while filing for a claim. Sometimes, because we don’t do our research properly, there are some mistakes we might make that can cause our claim to get rejected. Hence it's always better to be well informed so there are no mistakes from our end.
Things to Keep in Mind While Filing for a Car Insurance Claim
1. File for an FIR if your car has been a victim of a crime.
For every insurer to authenticate your claim request, they would need an FIR if your car has been stolen or vandalized.
To enable your insurer to process your claim application, an FIR is mandatory. So, make sure you file for one at the nearest police station immediately.
2. Intimate your Insurance provider at the earliest
The first instinct when something tragic happens has to be an intimation to your insurer.
Sometimes, if the insurer is not informed immediately, they would suspect an insurance swindling and to avoid such accusations that would lead to further investigation which means a delay in the settlement, make sure you inform your insurer at the earliest possible and don’t miss out on any details.
3. A surveyor should inspect the situation
Once an insurer is informed about the incident, they appoint a surveyor who inspects the incident to evaluate the authenticity of the situation.
At this point, make sure you are completely transparent with the surveyor to avoid any kind of delay. It is only when the surveyor will have all the information will he be able to process the claim in your favor.
4. Collect evidence that will strengthen your claim request
To strengthen your position in a claim settlement process, evidence plays a very important role. If you manage to collect a valid proof that will serve in your favor, it's gonna help you speed up your claim process.
Collect all kinds of evidence possible - Pictures and videos of the incident, name and contact details of witnesses, copy of the insurance policy of the third party, etc.
5. Maintain a record of the bills and expenses incurred concerning your claim.
Your car or you might need some stitching up after the tragic incident and to get reimbursed by your insurer, just make sure you collect all these expenses that you might have to incur.
6. Payout options
a. Reimbursement claim: The policyholder pays the car repair shop directly and collects the repair bills and receipts that need to be submitted to the insurance company or the surveyor. The company then pays the policyholder within a specific period from the document submission date.
b. Cashless claim: Your insurer will approve the claim amount and it will be communicated to the specific workshop directly. The Insurer will pay for the repairs directly to the concerned workshop.
7. Make sure the policy is under your name
This is quite obvious but if you have purchased a second-hand car and have forgotten to transfer the policy under your name, your claim will get rejected.
8. Avoid moving from the accident spot
This is an important rule that one should keep in mind, do not move from the accident spot even if it is causing minor inconvenience to be there, and if it causes too much trouble, usually insurers will then send a surveyor immediately to your location. And if this is not the case, avoid moving from that spot as you may tamper with the process of inspection that the surveyor might do to validate your claim.
9. Start repair work only after informing your insurer
If your car needs to be repaired, make sure it is done only after you have informed the insurer about your situation. If the damage repairs have been done before intimation, your claim might get rejected.
10. Refrain from making any deals with the third party
It's quite common after an accident that both parties come to a mutual agreement and accept a deal to make things quicker and easier. But if you are a car insurance policyholder, it makes much more sense for you to refrain from such agreements and channel your energy towards applying for your insurance claim as the money you might receive from the third party would most likely be lesser than what you could get through your claim.
11. Don’t hide any information from your insurer or surveyor
Insurance fraudulence is being committed more often than ever and it has made insurance companies and policyholders extremely cautious about their investments/money.
To avoid any kind of accusations of swindling, make sure you disclose all the information that you think is necessary and relevant to your case. If the insurance company identifies the inauthenticity of the information you have provided (even if it's a minor one like - wrong spellings of your personal information) your claim might get rejected.
12. Avoid any written agreements
Like you read earlier, policyholders also have to be cautious about any kind of extortion that an insurance company might indulge in. This is why it is advisable to avoid any kind of written agreement that your insurer might ask for, to confirm the claim offer put on the table.
If you think that the claim you are receiving is not satisfactory, don’t agree with it!
13. Accept the claim only if you are sure that it’s sufficient.
A lot of policyholders don’t understand the right they have over their insurance policy that they pay a regular premium for. If a claim offer is not what you expected, you don’t need to accept it.
an insurance grievance mechanism has been developed for the sole reason of dissatisfied policyholders. Don’t give in to something that you are not satisfied with, you have every right to fight for what's rightfully yours!
14. Your claim may get rejected if you have participated in illegal activities.
This ones quite obvious but also necessary to put out there. If your car met with an accident directly or indirectly because of the illegal activities you participated in, your claim is bound to get rejected.
Illegal activities that are forbidden are - Drugs, drinking and driving, using the car for any other illegal purposes, etc.
Going through the process of a car insurance claim application can be tricky. Although, are experts at Insurance Samadhan are here to guide you through it all! we not only support you through the application process but we also direct you to a pathway that most likely will help you receive your claim!
Register here and our experts at Insurance Samadhan will be right there with you!
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