A valid vehicle insurance is an essential document for Indian car owners. But there are certain factors that can lead to claim rejection inspite of the policy in place.
The most obvious reason that can lead to claim rejection is a fraudulent claim. If the insurer identifies malice in your claim, one can lose the benefits of vehicle insurance. Legal trouble may follow.
Timely payment of insurance premium is a must. While some minor delays can be accommodated in the form of grace period, repetitive delays can lead to claim rejection or worst – insurance invalidation.
Many people tend to forget to renew their car insurance within the stipulated time. This will lead to insurance invalidation and you may not be able to enjoy claim benefits when required.
If you’re in the practice of modifying your car quite often, make sure to keep your insurer in loop. Any car modification can have an impact on the insurance and the claim may stand rejected if not informed at the time of making such changes.
If a private vehicle is used for commercial or business purpose, it can be termed an out-of-scope claim case. If such a case is proven or identified by the insurer, it can reject the insurance claim outright.
You must follow the determined rule for claim process to avail benefits in a seamless manner. This process ensures no probability of any false play.
This claim process requires the policyholder to submit a list of documents, accurate details of the incident, including the time and date of the accident, etc. It will be cross checked by your insurance company later.
In case of an accident, it’s critical to inform the insurer and ask them to visit the spot for live inspection. You shouldn’t flee with the vehicle in panic. The more transparent you are, better chances of availing the claim fund.
Any accident caused due to breaking the law or driving under the influence of alcohol/drugs is not entertained by any insurer. The claim file for such cases will be rejected.
