It is a disappointing situation when it comes to rejection of all kinds. Rejection in the case of motor insurance not only causes a financial loss, but also mental stress for the consequent repair costs. While it is obvious for you as a policyholder to feel defeated when a claim is rejected, but there are reasons for the insurance company to reject it. If you are aware of these reasons, it helps you to avoid such refusal as well be informed for any situations that may not be admissible for a motor insurance claim. This article lays down some handy tips that can help you avoid a rejection of your insurance claim and ensure a smooth settlement of one:
Avoid making a consequential loss
Consequential loss is when another loss occurs due to already faced damage. An example of consequential loss is when water ingression occurs damaging your vehicle’s engine and at such time, you crank up the engine which further damages other components. When such damages occur that lead to consequential losses, it is best to not make any move that will further increase the damage to other components. Such consequential losses are a common reason for a rejection of the claim in your bike or car insurance policy.
Abiding the law
Insurance claims are honoured when an unintentional damage has occurred. If you break the law with the intention of making up for the such resulting loss with your car or bike insurance policy, the insurance company rejects the application. Thus, you must keep in mind to not commit an offence or breach the law with a motive to claim an insurance claim. Driving only with a valid driving license, registration papers, PUC, insurance certificate, and not consuming intoxicating substances when driving are some of the ways that can help you stay legally complied and make and honest insurance claim.
Adhering to the claim process
Every insurance company has a specified insurance process laid down for smooth insurance claims. Abiding the stipulated process helps you ensure quick and timely disbursal of the compensation. This insurance process is more or less similar for most insurance companies; however, it is best you make note of the specific process of your motor insurance company.
Renewal in time
Another way to ensure that insurance claims aren’t rejected is by ensuring timely renewal of your policy. Renewing in advance helps to enjoy continued coverage along with carry forward of policy benefits like the no-claim bonus. So, it is advisable to renew the motor insurance covers for a hassle-free claim without any rejections when the time comes.
Intimating your insurance company about modifications
Modifications to the vehicle are a way to customise your ride. It may be an exciting part of owning your vehicle, but it does not go well when it comes to raising an insurance claim. Hence, the insurance companies require you to inform them of any such modification so that your insurance claim isn’t rejected.
These are some of the tips that will help you avoid a rejection in your motor insurance claim. Remember when your buy insurance that it is the subject matter of solicitation. For more details on benefits, exclusions, limitations, terms and conditions, you must read sales brochure/policy wording carefully before concluding a sale.