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5 Tips to prevent Rejection of Car Insurance claims

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Rejection of Car Insurance Claim

Car Insurance Claim will be a pain, if you are not aware about the major causes for rejection. To avoid Rejection of car insurance claim please read on.

No one likes to read and understand the fine printed terms and conditions attached to the insurance policy. Read about the 5 major reasons to reject a claim for Car Insurance.

Let’s take a brief look at the aspect of Investment. It involves money!! Any Investment, even a purchase of a vehicle needs insurance. This will help you from any damage incurred due to an accident to your car.

  • Is it easy to get paid for a Motor Vehicle insurance claim?
  • What can be the causes of rejection?
  • Have no confidence in tackling such a situation?

Then read below, as we are going to discuss on how to prevent your claim being rejected.

Recommened Read : How to select Car Insurance Provider?

Common reasons for Insurer to reject your motor claim

Without Motor Insurance one might end up paying high amounts, even for a minor damage caused during an accident. Not only this, motor insurance also come in handy when your vehicle is involved in an un-fateful event that can damage your vehicle to an extent where it cannot be repaired.

1. Renew before Expiry

Never ignore to renew your vehicle insurance. It only acts as a protection for you and your vehicle. Usually, your present insurer will try to contact you before date of expiry of your Car Insurance.

2. Driving license

Being just alert on expiration of car policy is not enough, but we also have to be careful on our expiry date of our driving license. Without a driving license the insurance claim will be rejected even though your insurance policy is intact. Having fake licenses can prove fatal in this cause so be cautious and follow the procedures correctly and avoid rejections.

3. Drunk driving

If proved the cause of accident is drunk driving the insurer straight away can reject the claim for insurance. Neither there will be a possibility of negotiation or a court will be hearing your claim and on all grounds the claim will be rejected.

4. Renting out Private Car

A vehicle purchased for personal usage meets an accident when in commercial purposes; the insurer can reject your claim. Such claims are always considered as unlawful and you will land in more trouble if found guilty. It is advised strictly not to lend your motor to any person without knowing the purpose of their usage.

5. Don’t let your Car Swim

Keeping only the above mentioned, one tends to overlook the most simple point on how an insurer can reject your claim for insurance when your car is damaged because of driving in water- logged areas. Insurers normally send advisories through sms, via mails, FM radio, brochures or through some channel partners during the monsoon season. Cranking the engine after it is stalled due to water entering it too can lead to damage and the insurer if found the cause for damage straight away rejects your claim.

Add-on Coverage

Instead of focussing on free Insurance at the time of purchase of vehicle try to focus on add on’s covered by insurers as additional covers that can be tagged to your existing policies whenever required.

Recommended Read : Methods of handling Insurance claim rejection

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  1. My mother always told me that the large print gives you stuff, and the fine print takes it all away. To read the fine print is important before you sign and policy, and also WHILE you are making the claim. The more details you know, the better you can file your claim, and the more possibility it will be paid out to you.

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