Top 10 Car Insurance Claim Rejection Checklist to Never Ignore

Car Insurance Claim Rejection Checklist in 2020

The most disturbing fact is that people in India, the U.S., and around the world sometimes fail to consider some of the significant reasons why they reject their application to car insurance. To make it easy to note we've added a guide of 10 relevant reasons for Denial of Car Insurance claims.

Indeed, we have all forgotten that we are insuring our vehicles for safety reasons, and with the hope that the insurance company will come to our rescue in case of an accident. When your vehicle is damaged or other people are injured, a auto insurance policy is meant to help you cover the costs.

We 're going to clear your questions today and let you know what steps you need to take in the future while you're dealing with the cycle of car insurance.

When you own a car then getting a insurance policy is a must. The car is precious because it pushes you around and makes your life easier and it's a must for you to keep it going. You don't think so? Well, according to the Motor Vehicles Act, 1988, if you are driving on Indian roads, each vehicle owner has to buy car insurance.

Most people in India and other countries think buying car insurance is literally a waste of money. Most people complain the insurance companies don't cover the bills for car accidents which is just a myth.

Ofcourse, there is nothing restricting insurance and some best Maruti authorised car service centres who also provide car insurance services such as Trinity the most trusted and best for Buy or Renew Maruti Car Insurance in Basaveshwara Nagar and Nagarbhavi, Nexus Maruti or Anekar Motors from refusing the claim made under conditions that are specifically specified in the policy documents. Rather than the lesser-known factors that may differ with the insurance firms, it is important to learn certain obvious factors that apply to both of them. Those are worth learning because, under these cases, the insurance agent legally abides to walk away without paying a cent.

You should be aware of the reasons for rejection of auto insurance claims to avoid denial of your demand. Below is a guide to help you learn more about insurance claims relating to cars.

Major reasons why auto insurance company 's reject your claim

Drinking and Driving ( A Serious Crime )

It's a civil offense, you know, and it will take you to court where you have to pay huge penalty as well. Say it a friend's party that you're drinking alcohol with your friends. After dinner you drive your car, but lose control and shoot a third party 's vehicle. Traffic police officers will grab you right away and file the liability bearing party for a case.

You failed to report the incident early

Every auto insurance firms in India have their own set of conditions. Each insurance company has a specific timeline for filing auto insurance claims in accident situations. In the case of an accident, the insurance company must be notified as early as possible. The average time needed for the most insurance companies is 48 hours and 72 hours. The insurance company is entitled to reject the claim unless the policyholder has met with the time limit.

No medical assistance at the time of injury

If you want to make a claim for injuries due to a car accident then it is important that you seek medical attention immediately. The insurance agent will make counter-arguments when you are not doing so. Insurance company can question that there were no injuries caused by the accident. Nevertheless, if you wrote evidence (hospital insurance bills or doctor's diagnosis certificates) that you sought medical treatment immediately after the accident, then you'd have a reasonable case to deny the benefits.

Not paying the policy 's premium

In order to approve the payment the prescribed amount of the premium must be paid on or before the due date. By paying the premium on time, your insurance policy remains active and the insurer is willing to process your claim; but if it is not, the insurance company can deny or reject your claim. If you tell about the damage to the insurance company, they will not recognize the claim as true. The main explanation for this is that the car was uninsured. Paying the insurance fee on time is a good bet to prevent unwanted denials.

Driving without a license ( which has become very common )

If you're caught driving your car without a driver's license in this case, you'll be held equally liable for the damage should you have an accident. In such a circumstance the insurance agent reserves the right to reject the claim initially.

Not Informing Your Insurance Company

It is one of the major faults most policyholders make. You should have the car fixed on your own, and then notify the insurance provider of the settled claim. This is difficult for the insurance agency to monitor the incident and damages, thus, this makes it hard for the insurance firm to assess the damage and approve the claim. So it recommended to inform your insurance provider before you take any action on damaged car.

No Proof of Incident

You must take photos of the losses caused by the crash and the injuries if you decide to lodge a claim for car insurance. If you fail to do so before you leave the spot, then during the settlement of your claim the insurer may argue on.

Providing Fake or Incorrect Details

When you submitted inaccurate data at the time of payment of the policy to reduce the premium and if the insurance agent finds that you have given incorrect information, the claim will be rejected. Never ever give inaccurate information to the insurers which can lead to the denial of a claim and may even invalidate the insurance policy.

Ignord or Forgot to inform CNG/LPG Kit Fitted in Your Car

When you get more out of your car by installing a higher-mileage CNG / LPG pack, it is your responsibility to inform or disclose it to your insurance company. When you purchase / renew auto insurance, the insurance company must take care of your vehicle's modifications and will have it covered under the contract. In fact, you risk the insurer rejecting your claim by not disclosing the additional pack.

Driving Without a License/Invalid License

Some of the main reasons your car insurance policy would be rejected include driving without a driver's license, or driving under alcohol with an expired license. Throughout India, these acts are illegal, and the insurance company can not allow the claim in such cases.

Key Takeaway

You now know the circumstances under which your application may be rejected. Therefore always make sure you don't leave any room from your end. That way, you are able to collect the premium perks the auto insurance company provides.

We hope that this article has helped you gain knowledge related to car insurance and if you own a car but still you have something to be cleared like be a any model say Honda, Hyundai or any Maruti Car Insurance claim then I recommend to contact Anekar Motors, Trinity Maruti and Nexus Maruti who can assist you and guide you on car insurance policy being the best

Maruti Authorised Service Center in Yelahanka and BEL Road since decade they are in to car services and car insurance servving 360 degree auto services.

Shivakumar K Naik is a car enthusiast and content writer for projects like Trinity Maruti, Nexus Maruti, Anekar Motors Maruti