Finance Blog

Here’s how you make sure that your insurance claim is not rejected

1.91K 0

Owning a two wheeler, especially bike, is like a dream come true. For that, you have to invest a huge amount of money. Hence, it is necessary to insure your two wheeler against any unforeseen crisis which leads to loss or damage of it. The insured has to take care of all documents and procedure related to the policy.

Now, problem arises at the time of claiming for your insurance amount. In case, your two wheeler is damaged in an accident and your claim is rejected by the insurer, then it is your responsibility to find out the reasons for its rejection.

Ways that would make sure that the insurance claim will not be rejected

There are some reasons which will reject your insurance claim and it’s our responsibility to avoid those mistakes so that your claim is not rejected. Following are the ways to make sure that your insurance claim is not rejected even in case of two wheeler insurance renewal:

  • Avoid Repairs of your two wheeler without notifying the insurer

It is the most common mistake that is made by most of us. In case you have modified your two wheeler and the same is not insured in your policy, then the insurer will immediately reject your claim. If after an accident you have repaired the damages before informing the insurer, your insurer will not be able to find out the actual damages on your bike. As a result, they can reject your claim. Therefore, you must always first inform the insurer about the incident so that they are able to investigate the damage caused to the two wheeler and calculate the claim amount accordingly.

  • Avoid Drinking and Driving-

This is the worst way to get your claims rejected. If an accident has taken place and the rider is detected under the influence of drugs or alcohol at that time, then the insurer can immediately reject the claim.

In smaller accidents, you can not reveal the fact that you were drunk while driving. However, in major accidents, tests at the hospitals clearly reveal drunken driving.

Insurance companies are very strict about this clause. If you were driving under the influence of alcohol, your claim would surely be rejected! Drunken driving not only risks your life, but other innocent person’s lives as well. So, drive carefully and definitely not after a drink.

  • Valid Driving License-

Another reason for rejection of your claim is having invalid driving license. Driving license needs revalidation from time to time. It’s not like a PAN or a Voter’s identity card which is eternally valid. After a Driving License expires, it needs to be duly renewed.

Thus, if you meet with an accident, when your driving license is not valid, then your insurance claim would surely be rejected. Insurers are very compliant with this clause. Copy of the valid driving license of the person driving the vehicle, at the time of the accident needs to be produced as a claim paper along with the form, etc.

Also, keep in mind that a fake license can also be one of the reason for the rejection of your claim. So make sure that all your documents are proper and legally valid.

  • Trying to claim expired insurance

It isn’t even logically possible to claim on expired insurance policy. It is possible that you had to file for a claim when your two wheeler insurance policy was just about to expire. Make sure that your two wheeler insurance renewal is always done well within the expiry date. Your new insurance policy will start only after your older policy has expired. So, it is not that you would have lost some days of insurance cover from the previous policy. Just keep a one-month prior reminder for two wheeler insurance renewal. Your cover will be consistent and you’ll escape the hassle of untimely claims and rejection.

  • Personal Usage only-

Personal vehicles cannot be used commercially. If your vehicle is used for commercial purposes, then a separate insurance policy needs to be availed.

Thus, if your vehicle is found to be employed commercially at the time of the accident, the claim is bound to be rejected! So, ensure that your personal vehicle and two wheeler is used only for personal purpose and not engaged in any other activity.

Even at the time of your two-wheeler insurance renewal, all details need to be correctly specified so as to ensure that the vehicle is used for personal usage only!

  • Claim Intimation within timelines-

It is compulsory to inform your insurer about the claim within 48 hours to 72 hours, if not done, then the insurance company will reject your claim. Furthermore, if your two wheeler has been damaged due to some mishap and still you continue riding it, which further damages the vehicle, then your claim will be rejected automatically by the insurer.

  • Non Transfer of Ownership for Insurance company-

Always keep in mind that the insurance policy is purchased in name of owner and not the vehicle. So, if you buy a second-hand two wheelers, ensure that you do the necessary formalities in order to transfer the ownership for the insurance policy once your vehicle is registered in your name. Otherwise the insurance will become null and void.

Therefore, buying a two-wheeler policy is a good way to protect yourself from unaccounted expenses. But merely buying a policy is not enough. You have to ensure that the two wheeler insurance renewal happens well in time and that too with the right insurance company.