Five ways to a successful car insurance claim

By: Animesh Das, Senior Director, Motor Underwriting, ACKO

Making an auto insurance claim is the process by which the policyholder contacts the insurer to claim compensation for damage caused to the vehicle as a result of an accident, theft, natural disaster, or explosion. This is often seen as a tedious task given the endless paperwork and multiple supporting documents to be submitted.

However, with the rise of new-age technology-first companies, the process has evidently become simple given evolving customer behavior. Despite the simplification of the process, there is a common misconception among customers that purchasing auto insurance guarantees approval of claims at the time of an accident.

To ensure the claims handling process goes smoothly and the claim is not denied, here is a checklist to follow when making a claim:

Notify your insurer

The first and most important step is to inform the insurer once the vehicle is involved in an accident, otherwise the claim may be denied after the deadline. Also, any detail that is overlooked when notifying the insurer can adversely affect the claims process.

Determine the claim

Art In cases where the policyholder is at fault for the accident, the insurance policy can be claimed immediately. In other cases of the fault of the other driver, the policyholder can claim motor vehicle liability insurance and save a no-claims bonus to receive a discount on the motor insurance renewal premium. In the latter case, it is also mandatory to file an FIR with the nearest police station. A copy must then be submitted to the insurance company.

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Gathering Relevant Information

It is imperative to provide the insurer with all relevant details of how, when and where the accident occurred, including whether anyone was injured in the accident. This can be substantiated with any documents or evidence supporting the claim, which will help speed up the settlement process.

Police No Trace Certificate

If the car has been vandalized or stolen, the policyholder must obtain a “No Trace Certificate” from the police along with a copy of the FIR. In this document, the police declare that the vehicle cannot be found and it serves as an important document for theft claims settlement.

filing of the claim

The last step is to make the claim and claim compensation for the insured car. After all the necessary documents have been gathered, a claim can finally be made.

The documents to be submitted are: car registration certificate, FIR copy, insurance policy copy, driver’s license, no-trace certificate (in case the car is stolen), repair invoices and receipts, etc. The insurer will examine the documentation and initiate the claim settlement accordingly.

last step

Once the application has been made, you can choose between a cashless or a refund application. In the event of non-cash damage, the insurance company pays the damage directly to the garage. The garage must be connected to the insurance company, the excess is borne by the policyholder. Deductibles are set at the time of premium and Insured Declared Value (IDV) calculation.

Another option is to have your insurance company reimburse you for the repair costs. This means that the car can be repaired in any workshop of the policyholder’s choice. Once bills are submitted to the insurance company, after proper review, they can be reimbursed or denied.

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Along with these simple steps, transparency with the insurer is key to settling claims in the unfortunate events of an accident. Online claims settlement is much less complicated and convenient, and it also saves the policyholder time, money and nerves.

Disclaimer: The views expressed are personal and do not reflect the official position or policies of Financial Express Online. Reproduction of this content without permission is prohibited.