Insurance: Never make these 10 mistakes with your insurance policy, your claim will be rejected every time..

Insurance Tips: Paying insurance premiums with hard-earned money for years and getting the claim rejected at the time of need is no less than a nightmare. It not only breaks you financially, but also becomes a major cause of mental stress. Many of you and we assume that once you have bought a policy, everything is safe now, but this is not always the case. Many times, our own small mistakes or lack of information create big trouble for us. Insurance companies often reject claims for certain reasons. Today, we tell you about 10 such big mistakes, due to which insurance claims often get rejected.

Giving wrong or incomplete information in the form

This is the most common and biggest reason for claim rejection. While buying a policy, we often become completely dependent on the agent and sign the form without reading it. It is very important to tell your age, profession, income, health information, and chronic diseases correctly. If you hide or give wrong information, then when the company investigates at the time of the claim, it can reject your claim by considering it as 'Misrepresentation' or misrepresentation of facts.

Hiding pre-existing diseases
This is a big problem in health insurance. If you have any disease before taking the policy, such as diabetes, high blood pressure, thyroid, or any other serious disease, then definitely mention it in the form. Many people do not mention these diseases for fear of increasing premiums. But if a claim is made later for the treatment of the same disease, then the company easily finds out and rejects the claim immediately.

Lapse of policy
If you do not pay the premium on time, then your policy lapses. Insurance companies give a grace period (extra time) to pay the premium, but if the money is not deposited even in that period, then the policy becomes inactive. No claim is available on a lapsed policy, no matter how great the need is.

Delay in informing the claim
Any incident, be it an accident or hospitalization, must be reported to the insurance company immediately. Generally, for cashless treatment, it is necessary to inform the company within 24 to 48 hours, and for reimbursement claims also within a stipulated time frame. Any delay may make the company suspicious, and it may reject the claim.

Not understanding the policy exclusions.
Every insurance policy has certain "exclusions", i.e., situations in which the claim will not be given. For example, adventure sports, intentional self-injury, an incident caused by drug abuse or certain diseases occurring some time after the commencement of the policy are not covered. If your claim is related to any of these situations, it will be rejected.

Submitting incomplete or wrong documents
It is very important to submit correct and complete documents at the time of the claim. In health insurance, hospital bills, discharge summary, doctor's slip, and investigation report are required. Whereas, in case of an accident in motor insurance, documents like a copy of FIR, vehicle registration certificate, and driving license are required. If any document is missing or wrong, the claim will not be processed.

Making changes in the vehicle without informing the motor insurance)
If you make any modifications in your car or bike, like installing a CNG kit or making any major changes in the engine, and do not inform the insurance company about it, then the claim may be rejected. The company believes that you have changed the risk profile of the vehicle.

Getting the vehicle repaired in a non-network garage (motor insurance)
The facility of cashless claim is available only in the garages in the network of the insurance company. If you get your vehicle repaired in a garage that is not in the company's network, you will have to pay out of your pocket first and later claim reimbursement. Many times, the company rejects the claim if the repair is done from an unauthorized garage.

Fraudulent Claims

Sometimes people make claims by preparing fake bills or giving wrong information in the greed of getting more money. Insurance companies investigate such cases very deeply. If fraud is proved, not only the claim is rejected, but the company can also take legal action against you and blacklist you forever.

Claiming during the waiting period (Health Insurance)
Health insurance policies have a "waiting period" for certain illnesses, which can usually be 2 to 4 years. This means that you can claim for these illnesses only after the stipulated period. If a claim is made for these illnesses before the waiting period is over, it will definitely be rejected.

Disclaimer: This content has been sourced and edited from Zee Business. While we have made modifications for clarity and presentation, the original content belongs to its respective authors and website. We do not claim ownership of the content.