Can Someone Else Make A Claim On My Car Insurance?

We frequently have a tendency to lend and borrow from our friends and relatives. These things could include little stuff for the house, cash, and even our cars. But what if the car you have given to your friend is damaged due to an accident?  How will your car insurance work out if someone takes your car and gets involved in the accident? Let’s find answers to all these questions in this article.

What Is Covered Under Third-Party Insurance Claims?

The following are the claims that you can get when you file a claim on someone else’s insurance.

• Damages to third-party property or vehicles

We all make errors, therefore your third-party insurance can assist cover this loss if your vehicle collides with another person's car or damages someone else's home or property (for up to Rs 7.5 lakhs).

• Personal Injuries to Third Parties

In an unlucky circumstance, a third party might sustain severe harm from your automobile or perhaps pass away. The third-party insurance will cover any costs incurred by the third party in such an instance.

What Is Not Covered By Third-Party Insurance Claims?

In order to avoid unforeseen problems, it's also crucial to understand what your third-party insurance coverage does not cover.

• Own Damages

You won't be protected for damages to your own car under third-party insurance coverage.

• Driving While Intoxicated

Additionally, your third-party auto insurance won't protect you if you were driving while being in an intoxicated state.

• Driving a Vehicle Without a valid driver's licence

Your claim won't be covered if you were driving a personal vehicle with a learner's permit and no one else in the front passenger seat who had a legal licence.

How to Make A Car Insurance Claim?

The process for someone else filing a claim shouldn't be too difficult. Here is what you should do is:

Contact your insurance provider and submit a claim as soon as possible. If your coverage decides to make a claim against the insurance of the other party, you can be required to pay your deductibles but end up getting it reimbursed. In any case, getting in touch with your insurer is the best approach to make sure the claims procedure proceeds without a hitch.

In order to make a claim with the other driver's insurance carrier on your behalf, your insurance provider will compile the information you obtained from the other motorist. This is why it's crucial to document the incident with photographs and gather as much info as you can at the scene: photos will support your claim, and thorough information will make identifying the responsible party much simpler. (This will also make it simpler and faster for you to get your payment!)’

Unless a more complete investigation is required or unavoidable circumstances cause the claims procedure to be delayed, most insurance companies endeavour to resolve claims within 30 days.

You might want to think about switching providers if the car insurance increases dramatically as a result of the collision. Regardless of who was at blame for the collision, it's vital to take into account that the car insurance price may go up after it. 

How to Protect Yourself from False Insurance Claims?

In today’s AI-driven world, a lot of policyholders are subjected to insurance fraud, thanks to digitally driven fraudulent practices. Sometimes, the level of fraud is such that even insurance companies cannot detect them. So how does one ensure that someone else does not file false claims on their behalf?

Be Aware

Awareness about the various types of insurance fraud is the first step to battling false claims, for the insurer and the insured. There are hard frauds and soft frauds. Hard frauds are high-level fraudulent schemes that lure innocent policyholders to give up their details such as their identity numbers – for example, fake ‘companies’ asking for sensitive information like Aadhar or PAN card number to process an urgent claim. To counter such situations, policyholders must question the legitimacy of such people. Ask for identification and verify their identity, Ask for the policy number and their insurance office location details whenever you receive such calls. 

Never pay in cash

Avoid making cash payments for insurance premiums. Also, note that your insurer will never ask for payments outside of your payment schedule.

Opt for reputable insurance companies:

While purchasing insurance, ensure that you are dealing with a legitimate company and interact with insurance agents only after a level of trust has been established between you and them. Several new insurance companies are offering lower insurance premiums in the market. Investigate thoroughly before signing any insurance-related document.

Verify Before Disclosing Sensitive Information

If you are asked to furnish sensitive information such as your identity proof number, your UPI ID or even an OTP by representatives claiming to be from your insurance company, verify their identity before sharing anything. This can prevent you from being a victim of insurance fraud.

Conclusion

Therefore, yes, someone else can make their claims on your car insurance coverage, and even you can file on someone else’s coverage. If you can demonstrate that another driver's carelessness was to blame for the accident, that driver's third-party insurer will compensate you, and your insurance won't be impacted. And the same applies for vice versa. You also need to take into account the circumstances in which you were driving, so that there is no impact on the filing of the claims.

Also Read: Can I Have Multiple Car Insurance Policies?