How To Prevent Rejection of Your Car Insurance Claims In India?

Rejections, whether for visas or insurance claims, are difficult to deal with. You may be distressed and perplexed if your car insurance claim request is denied. This is why it's critical to understand why your insurance claim can be denied. This post will walk you through a number of reasons why your car insurance claim can be rejected, as well as some recommendations on how to avoid it.

Common Reasons For Claim Rejection And How To Avoid Them 

When you understand the reason why your car insurance company can reject your claim, you can find it easier to dodge this situation and successfully receive your claim amount. The following are some of the most typical reasons for a car insurance claim rejection - 

• Withholding The Truth 

The purpose of a car insurance policy is not to generate revenue, but to compensate the policyholder for their losses. It is founded on the tenet of "utmost good faith." As a result, concealing facts or misrepresenting them constitutes fraud. Apart from being rejected the claim amount, such an act can result in legal issues. To avoid having your claim denied, you should always provide your insurance provider with the facts concerning the occurrence and your car insurance claim. The key to receiving your insurance amount is filing a claim on time and being honest with the claims team about the accident. 

• When Car Modifications Aren't Revealed

Car parts are frequently modified by car enthusiasts to improve the car's performance or appearance. Such changes that improve the car's performance and speed can degrade the car's security, resulting in an increase in your car insurance premium. In such situations, if you fail to reveal information about such changes and later become involved in an accident or other unfortunate incident, your insurance provider is quite likely to reject your car insurance claim. Therefore, always keep your car insurance company informed about any such modifications. 

• Expired Car Insurance Policy

All insurance plans have a set period of validity after which they must be renewed in order to remain active and continue to get the advantages they provide. If you do not renew your expired policy, you will be unable to file a claim or obtain the benefits of insurance. As a result, if you file a claim under an expired vehicle insurance policy, your insurer will deny your claim. Since accidents cannot be predicted, it is critical to renew your insurance coverage. It is safer to be prepared for a tragedy than to be caught off guard. If a policy has lapsed, no insurance company will approve the claim.

You may also like to read:- When to Purchase Comprehensive Car Insurance Coverage

• Rules And Regulations Insubordination

Car insurance and the law go hand in hand.  Acts like underage driving, intoxicated driving, driving without a valid licence, and so on are criminal offences that If practised during the accident, may result in the claim being rejected. If the insurance company discovers that you did not follow the law during the accident, your insurance claim is quite likely to be denied. While driving your car, be sure you follow the rules. Any accident that occurs while you are breaking the law will result in your insurance claim being denied.

• Purpose Not Covered By Policy

Car insurance is usually divided into different categories to help the policyholders to get the most optimal coverage they require. Private and commercial cars have separate car insurance coverage. If you have a privately owned car, your insurance policy is likely to be rejected if you have an accident while using it for business or any commercial purpose.

Also Read:- Reasons for Rejection of Car Insurance Claims and How to Avoid Them 

Take Away

Claiming your car insurance may appear to be a hard process, but it is critical to follow the proper procedures at each step to safeguard your safety and avoid having your claim denied. Make sure to adhere to the terms and conditions mentioned in the car insurance policy while filing a claim settlement and drive your car safely.

Disclaimer: This article is issued in the general public interest and meant for general information purposes only. Readers are advised not to rely on the contents of the article as conclusive in nature and should research further or consult an expert in this regard.