12 Common Reasons for Rejection of Two-wheeler Insurance Claims
Bike insurance claims rejection is one of the common disappointments for two-wheeler owners. Some certain conditions and obligations have to be fulfilled by the policyholders to get compensated for the raised claims. Let us explore the main reasons for the two-wheeler insurance claims rejection:
Expired Bike Policy
Your insurance company will not accept your insurance claim request that was raised against a lapsed or expired bike insurance policy. Your insurer covers your vehicle only during the policy tenure.
You need to remember to renew your policy before the due date of expiry to avoid getting ineligible to get coverage. Thus, it is advised to renew your insurance policy before the expiry date to avail uninterrupted coverage and smooth claim settlement.
Incomplete or Inaccurate Information
When you buy a bike insurance policy, ensure you provide accurate and genuine information about yourself and your vehicle to your insurer. Also, be transparent with your insurer while providing information regarding your accident without missing any facts to receive compensation for the losses or damages.
If you misrepresent or miss out on any accident details, it will lead to claim rejection. Also, we suggest you take photographs of the damaged two-wheeler that you can send your insurer online and enjoy a hassle-free claim settlement process.
When you purchase a third-party bike insurance policy, you can claim for the damages to your own vehicle. According to policy terms and conditions, your claims will be rejected in such scenarios. Also, if an insured person holds a comprehensive plan but without any add-on covers, then there can be some expenses that are borne from their pocket. So, the insurance claims depend upon the coverage, and your claims get rejected for uncovered items.
A two-wheeler insurance policy aims to assist the policyholder in times of trouble, but some policyholders seek opportunities by raising false claims to make a profit. That is why insurance companies reject claims from individuals who are involved in fraudulent activities to gain more coverage than required.
Since fraudulent claims are rising in India, motor insurance companies have become more cautious. The insurance providers conduct thorough research to verify the claims raised by the policyholders. However, if you are caught in any fraudulent activity to gain profit, it will be rejected, and you will be blacklisted. Hence, you will face difficulty in purchasing a new policy. Even in some cases, you might even have to face legal charges.
While raising any two-wheeler insurance claim, you must ensure that you are not involved in any unlawful activities. Such unlawful acts include drunken driving, riding without a driving license, reckless driving, performing stunts, racing, etc. If you are ever involved in any such activities, your insurance company will reject a claim associated with any of them.
Modifications in Bike
Many bike enthusiasts choose to modify their bikes without even knowing the consequences. If you are one of those people, we suggest you inform your insurer once before going for modification. The reason is that certain types of modifications increase your insurance premium. Therefore, your claims get rejected for a modified bike, considering those modifications were not disclosed to your insurer before.
Using for Commercial Purposes
When you are using your personal bike for commercial purposes, and it gets damaged in an accident, your insurance provider will reject the claim request at that very moment. There are separate policies available for commercial vehicles. Therefore, any private bike must not be used for any commercial purposes.
Delay in Raising Claim Request
We advise you to raise a claim request as early as possible after the mishap. Suppose you request the claim one month after the accident; your insurance company will reject your claim request. That is why every insurance company has a deadline to initiate claims, which must be done within that dedicated period to enjoy a hassle-free settlement process.
Transferring Bike Ownership
If you have a second-hand two-wheeler, ensure your two-wheeler's insurance policy is transferred from the last owner to your name as soon as possible. If you forget to do it, there will be no policy in your name. Ultimately, you cannot get any compensation for the losses.
You may also read Bike Ownership & Bike Insurance Transfer Process
If your bike is not in good condition and faces issues like inflated tyres, faulty brakes, a leaking fuel tank, or an overheating engine, the insurer can reject your claim. After all, these small mistakes can lead to huge damages, and the claim settlement process becomes a little complicated. Therefore, make sure your bike is serviced regularly and is in good condition because insurance companies consider these faults while rejecting your two-wheeler insurance claim.
Your insurer never compensates for the claims if your bike is damaged for illegal riding like- driving in a restricted area or footpath, racing or over speeding, etc. Therefore, never involve yourself in any illegal purposes when riding a bike.
Repairing Your Damages without Surveyor's Approval
If you send your damaged bike for repairs before the surveyor's approval, both for cashless and reimbursement claim process, your bike insurance claims will be rejected.
In case of cashless repairs, after the approval from the surveyor, you will be sending it to the authorized network garage. However, if you have selected the reimbursement settlement process, after the inspection by the surveyor, send your damaged bike to any garage for repairs.
Summing it up!
A two-wheeler insurance policy is mandated if you own a bike or any other two-wheeler. However, ensure that your online two-wheeler insurance claim is accepted and you get accurate compensation for the damages incurred. Also, remember to read your policy documents carefully and keep your other mandatory documents handy before raising claims.
Two Wheeler insurance articles
03 Nov 2023Bike insurance is an essential financial safety net in case of
03 Nov 2023Among all the bike insurance add-ons available in the market
25 Oct 2023When claiming on your bike insurance policy, you always look for
17 Oct 2023Tropical cyclones are prevalent, causing a huge loss of human
13 Oct 2023For two-wheeler owners, adequate coverage is crucial to keep