These Are the Reasons Why Your Motor Insurance Claim May Get Rejected
If you are bike owner, you must know the time, effort, and money it takes to purchase a two-wheeler. So, you also understand how important it is to keep the bike safe and unharmed. Bike insurance helps you in achieving that. By paying a premium, you can get financial assistance from an insurance company in the event of an accident involving your two-wheeler. You must file a claim and follow the instructions of your insurance company. However, sometimes insurance companies may reject your claims and refuse to provide coverage for that risk.
When you make a claim under your insurance policy, the insurance company will inspect your claim. If your claim is successfully verified, you will receive the coverage that is required to repair your bike. However, there are some situations that can lead to rejection of your motor insurance claim. They include:
- Outdated information
The insurance company should have updated information about the policyholder, the insured two-wheeler and the accident that occurred. If your insurance company does not receive detailed and factual information, it may dismiss your claim for misrepresentation of facts. This also affects your coverage and the premium rates of your policy. *
- Illegal act
If the accident is a result of you indulging in some unlawful activity, your insurance claim will be rejected. Driving while intoxicated, talking on the phone while driving, driving without a driver’s license, or having an expired driving license are just some of the offences that can lead to claim denial. If the insured person’s two-wheeler is used for any illegal purpose at the time of the accident, the insurer will not accept any claim whether it is an own damage claim or a third party insurance claim. *
- Failure to renew the insurance policy
To get insurance coverage, your policy needs to be active at the time of the accident. Hence, you need to renew the policy in a timely manner. After the policy expires, you and your two-wheeler will no longer be covered by the insurance policy. If your policy is terminated at the time of the accident, the insurance company will not be obligated to provide you any coverage. *
- Fake claims
Fraudulent insurance claims can lead to claim rejection and you may also face legal charges. Your claim will be accepted only after proper verification. If you are found guilty of claiming more than you deserve or if you claim for a fake event, your claim will be rejected. *
- Claiming out of coverage
You only get coverage for the policy you pay for. If you have a third-party policy, you can only claim for third party compensation. Any claim for own damages is not valid. Similarly, the insurance company will only cover the add-on coverage you choose with your policy. Hence, you should know exactly which coverage to buy at the time of purchase and only make claims within the scope coverage. To ensure your coverage fits your budget, you can use a vehicle insurance calculator. *
* Standard T&C Apply
Insurance is the subject matter of solicitation. For more details on benefits, exclusions, limitations, terms and conditions, please read sales brochure/policy wording carefully before concluding a sale.