Free quotes from 20+ insurers with lowest premiums in 30 seconds
*Please note that the quotes shown will be from our partners

5 Reasons Why Car Claim Gets Rejected?

Rejections are never easy to take! And when it is about car claim rejection it is even worse for it destabilizes your financial equilibrium. My advice: Stay away from the situations which might lead to car claim rejection. Nip in the reasons in the bud itself.  

1. Filling a Fraudulent Claim

If you're making a claim, be sure to include all relevant information of the accident, and avoid exaggerating the damages, to stay away from the legal consequences of fraud. 

Filling a fraudulent claim not only leads to claim rejection but can also have serious legal consequences too. On the contrary, you could also be liable to pay the insurer for extra costs spent in investigating the fraud.

2. Keeping Quite About Modifications  

Don’t try to hide anything from insurance company while buying motor insurance. If you make any modification in your car’s body, such as engine upgrade, addition of alloys, etc. then let your insurer know. Any claim you make could be turned down if the insurer finds out that any discrepancy in information.

3. Breaching Policy Conditions

Most policies spell out exactly how you are covered, and against what. If you had bought a car insurance policy for your personal use and you are using it for commercial purposes, e.g. taxi service, then your insurance claims may be rejected. If you intend to use your car for commercial purposes, then you should buy a commercial car insurance policy.

4. Not Reporting About the Accident on Time  

If you delay reporting an accident to your car, your insurance claim may be rejected. Normally, insurers allow a 48 hours window for accident to be reported. Some insurers may allow some relaxation in the time frame during which accidents can be reported, but beyond a certain time limit, needless to say it may lead to rejection.

5. Relying on a Lapsed Policy

Watch out for this, as one missed premium payment can jeopardize your whole coverage. It is extremely important that you pay premium on time and also renew your policy timely. Opt for sms or email reminders to keep you on top of things.

Let’s pledge to comply by all these rules and never face any claim rejection, ever.

You May Also Like
  • Zero Depreciation Car Insurance Coverage & Features

    English Hindi   Mr. Kamal Shah got furious as he had to spend Rs 30,000 from his pocket towards repairing of the car. The comprehensive car insurance, which he bought last year, only reimbursed Rs 70,000 after fa...

    read more
  • Insured Declared Value (IDV)

    Insured Declared Value is the maximum Sum Assured fixed by the insurer which is provided on theft or total loss of vehicle. Basically, IDV is the current market value of the vehicle. If the vehicle suffers total loss, ID...

    read more
  • 9 Secrets That Your Motor Insurance Provider Won’t Tell You

    Due to the dangerous driving conditions, it is compulsory to have third party insurance for every vehicle plying on Indian roads. It ensures the overall safety of the people involved in a road mishap. As we all know, it...

    read more
  • No Claim Bonus (NCB) in Car Insurance

    No Claim Bonus (NCB) is a reward, given by an insurer to a policyholder for making no claims during the policy term. NCB can be accumulated as a discount on the premiums over years. NCB discount ranges from 20% to 50% on...

    read more
  • Money Saving Advice for All Car Owners

    After a dream home, a dream car is your second-largest purchase that you make in your lifetime. But the expense does not cease when you drive off the car dealer's lot. Owning and maintaining a vehicle makes up the secon...

    read more