Your car insurance claim gets stuck due to these mistakes! If you understand these things, then the settlement will be done quickly.

Are you worried about the delay in the insurance claim after a car accident? Sometimes it is also due to some mistakes of the policyholder. Know the reasons for the claim getting rejected and the ways to get it settled as soon as possible. This can help you a lot in the future.

In case of a car accident, everyone wants the insurance claim to be done quickly so that the loss can be compensated as soon as possible, and the car can also be repaired on time. But many people complain about the delay in this matter. But sometimes some of our mistakes are also the reason for the delay in the claim. Experts believe that if the information is given at the right time and all the documents are correct, then in more than 70% of the cases the claim gets settled quickly. Here know the reasons for delay or rejection in insurance claim and the way to settle it quickly.

What are the main reasons for delay or rejection of claim?

Late information

Delay in informing the insurance company after the accident is a major reason for claim rejection. Most companies want them to be informed within 24 to 48 hours of the incident.

Incomplete or wrong documents

This is the most common reason. Filling wrong information in the claim form, not having a copy of FIR, not having complete documents like driving license or registration certificate (RC) slows down the process. In such a situation, companies verify every information, which takes time.

Not registering FIR

It is legally mandatory to register an FIR in case of third-party liability, theft or any major accident. A copy of the FIR is an important document that insurance companies ask for to process the claim.

Drunk driving or violation of rules

If the driver was drunk or violated any traffic rule, then the insurance company can reject the claim outright.

Not understanding the terms of the policy

Many times people do not know what is covered in their policy and what is not. If you claim for the loss covered under the rules (Exclusions) of the policy, it gets rejected.

Easy and effective ways to get a quick claim

Inform your insurance company within 24 to 48 hours of the accident. Keep your policy number and complete information of the incident ready.

Before making a claim, collect all the documents like copy of FIR (if required), driving license, RC of the vehicle, copy of policy and claim form.

Take pictures and videos of the incident spot from many angles. This makes it easier to assess the damage. If there is a witness, then note down his name and contact number as well.

Nowadays, many companies like HDFC Ergo and ICICI Lombard provide the facility of filing claims online. This process is not only fast but also less paperwork.

If the matter is complex or there is a major loss to the third party, then taking the help of an insurance advisor or lawyer can be beneficial.

If the loss is minor, then think before making a claim. Many times, by making a claim, your No-Claim Bonus (NCB) ends, due to which you do not get the discount on the premium next year.

After filing the claim, check its status regularly on the website or app of your insurance company.

What is the rule

According to the rules of the Insurance Regulatory and Development Authority of India (IRDAI), insurance companies have to settle the claim within 30 days of receiving all the necessary documents. If your claim is not settled even after 30 days or the company delays without any solid reason, then you can register your complaint on IRDAI's complaint redressal portal 'Bima Bharosa'.

FAQs

1. How many days after a car accident can you make an insurance claim?

Generally, you should try to inform the insurance company within 24 to 48 hours of the accident. However, the deadline for filing a claim depends on the company and policy rules, which can range from 7 days to 90 days.

2. Is it necessary to file an FIR after every accident?

No, FIR is not mandatory for minor damages. But if a third person is injured in the accident, someone's property is damaged, your car is stolen or a major accident has occurred, then it is legally necessary to file an FIR.

3. What is the difference between a cashless claim and a reimbursement claim?

In a cashless claim, you get your car repaired in the insurance company's network garage and the company pays the bill directly to the garage. In a reimbursement claim, you get the repair done in any garage and first make the payment yourself and later get the money back from the company by submitting the bill.

4. What to do if the insurance company rejects the claim?

First of all, ask the company the reason for rejecting the claim in writing. If you feel that the reason is wrong, then you can contact the Grievance Redressal Officer (GRO) of the company. If you do not get a solution from there also, then you can complain to the Insurance Ombudsman or IRDAI.

5. Should you claim for minor scratches or not?

This depends on the amount of damage and your No-Claim Bonus (NCB). If the repair cost is less, then it may be better not to claim, because by claiming, your NCB will be exhausted and you will not get the discount you get while renewing the policy next year.