Dos and Don'ts While Filing Your Motor Insurance Claim

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Ratna was processing the motor insurance claim for her car which was damaged in a road collision. She was being guided by her cousin’s husband who had owned a vehicle for many years. She filed all the paperwork properly and within the stipulated time submitted her insurance claim. She was shocked to hear that her insurance claim has been rejected. She was informed that they had found some discrepancies between what she had stated in her claim and the investigation. This is when Ratna realized what a big mistake she had made by hiding some of the information from the insurance company. Now her entire claim was rejected and she had to bear the entire expense of fixing her car.

While driving can be a fun activity, all the fun turns into a terrible experience if the car meets with an accident. A car can be damaged in several situations such as an accident, being stuck in a water-logged area, a tree falling on it, etc. Well, no matter how your car was damaged, you can opt for an accident insurance claim and get funds for repairing the damages. Nevertheless, the car insurance claim process is not as simple as it sounds. You have to follow some steps and provide the necessary documents required for the insurance claim. To help you further, let us also discuss some dos and don’ts for filing a car accident insurance claim to make sure that your insurance claims do not get rejected or delayed unnecessarily.

5 Things to Do’s while filing a motor insurance claim

Going by the statistics, Indian roads are not suitable for all types of cars. Also, road accidents are very common in India. Many people lose their lives in road accidents. Therefore, you need to be extra careful while driving on roads in the country, even if it is a city. This is why you also need a car insurance policy so that you can at least claim the coverage. While doing so, you need to take care of certain things. So, here are some of the things you should do if your car has been damaged because of an accident and you want to claim your motor insurance.

Filing an FIR: As you meet with an accident while driving your car, the first thing you should do is to check whether you need to file an FIR. FIR is obligatory if the car has been stolen or when someone is hurt. In case of OD claims such as a collision of vehicles without any injuries to travelers of both vehicles, an FIR is not entertained by the police and the insurance companies do not ask for it. To initiate the claim settlement process on theft and severe collisions with injuries, the insurance companies can ask for an FIR.
Gather evidence: Before moving your vehicle, the insurer should make a video of the vehicle, and surrounding areas, and focus on the damage. Taking pictures of both the involved vehicles and noting down the details of the other vehicle must also be done.
Inform the insurance company: Informing the insurer about an accident is as important as filing an FIR. Also, you need to inform the insurance company within seven days of the accident, otherwise, the insurance claim will lapse. Therefore, the wisest thing to do is to update the insurance company as soon as possible. For minor claims measuring up to INR 50,000, some insurance companies allow the insurer to file the claim online and get claim approval within 24 hours.
Documents: You must check all the documents and then send them to the insurance provider to get started with the process of an auto insurance claim. If you are confused, you can ask your insurance company about the kind of documents that are needed for the process of claim settlement. You can also ask for the time within which you have to arrange the documents. Some of the most common documents that almost all insurance companies need for commencing the claim settlement process include an RC copy (Registration Certificate), an estimate of repairs, a form for insurance claim, and a copy of the valid license, a copy of the insurance policy. A spot survey is conducted for a claim for commercial vehicles and the document must include a valid permit and fitness certificate.
Accurately assess and report damage: Keep the claim limited to current damages and do not add old damages of the vehicle to the current claim. This can make the surveyor suspicious and the damages may stand out without being concurrent to the description of the loss. Being honest and forthcoming is the right thing to do in an insurance claim.

Also Read: What Is First Notification of Loss (FNOL) in Car Insurance Claim Process

6 Things you shouldn’t do while filing a motor insurance claim

While there are certain things that you should do while filing a motor insurance claim; there are also some things that you should not do. Let us shed some light on them as well.

Don’t run from the accident spot: Many people get nervous after the accident and try to flee the spot. Well, you should never try to do that. Also, the car should not be moved at all from the accident spot.
Don’t hide facts: Several times it has happened that while the accident investigation is going on, people try to hide some of the facts. If you do so, and later the truth comes out, there are fair chances that your claim will get rejected by the insurance company. So, make sure, you stick only to the truth.
Don’t try for settlement from insurance: Many times it is found that a third party that is a part of the accident, also offers to settle the contract without letting the insurer know about it. You need to make sure not to settle for such offers since it is illegal. It is prudent to choose the legal path and follow all the necessary steps.
Decide if you want to file: In case of minor damages, it is a common practice to not file for an insurance claim as your No Claim Bonus (NCB) will get compromised.
Check the final bill for cashless claims: Keep an eye out for the final bill that you need to sign when getting a cashless claim processed. Many cashless tie-up garages have been known to inflate the bill and include items that were not damaged.
Avoid unregistered garages: Avoid keeping your car at unregistered garages since they can not produce proper GST bills at the time of claims, which may lead to your claim being rejected.

Also Read: What is Critical Illness Cover in Health Insurance?

If you wish to find more information about insurance claims rejection and how can you make sure that your claim is processed properly by the insurer, you can approach Insurance Samadhan. We have helped 14,500+ people in resolving complaints related to insurance. Contact us to get samadhan for your insurance-related issues. We are always available to help you out.