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As per the law, having your vehicle insured is mandatory in India. With the increase in number of road accidents each year, the car insurance claims are also increasing. However, a lot of are still not clear about how to claim car insurance for accidents. Here is a step-by-step guide that explains car insurance claim process easily.
Whether it is the case of third party liability, theft or of own damage, inform the insurance company as soon as possible after the incident happens. You should intimate the insurance company by reaching out to them on their Toll-free number which is available on their website.
In case of own damage, you need to take an appointment with the surveyor, and submit the required documents to the surveyor. Thereon, on acceptance of your claim, you can get your car repaired at their authorized garage to opt for a cashless facility else you can get it repaired from any garage and produce the repair bills to get a reimbursement.
You must intimate your insurance company about the accident as soon as possible. Actually, the sooner the better. Most insurance companies follow stringent timelines (which are mentioned in their policy wordings). All companies have a number that you can call on to make a claim. It is important to do this before you make a claim because it just eases the entire process. If you’ve bought your motor insurance policy through coverfox.com, you can call us on as well. We’d help you with the entire process. Besides of course, cheering you up about the sad, inconvenient situation you’re in. We’re friendly folks like that!
Once you’ve called the insurance folks, an inspection will be scheduled. A representative will come and evaluate the damage to your car. You will also be guided to the right network garage nearest to you and your car would be towed there. Don’t tow the car yourself. This is just to avoid any further consequential damage to your car. Most car insurance companies will schedule the survey within 1-2 days of the car insurance claim intimation.
After the survey & scrutiny of your claim request, your insurer will send you and the garage an approval for the estimated repair costs. Now you can ask the garage to start the repairs! Once they’ve evaluated and agreed on the damage and the timelines involved in the repair, you can go home and relax. In every car insurance claim, certain repair costs have to be paid from your pocket. Once you settle these expenses, you are free to enjoy your drive.
In order to make cashless claims for car insurance, follow the simple steps as mentioned below.
To make reimbursement claims for your car insurance, follow the below mentioned steps.
Despite the best of your efforts, you banged your car into someone else's car/property, or a person suffered
an injury during a mishap. Chances are that this person will claim for the damages on your insurance policy.
Here's what you need to do:
To file a claim on the Third-Party Liability policy, you or the third-party must file an FIR at the local police station of the spot of the accident. Keep a copy of the FIR with you.
You must share the copy of your car insurance policy with the third-party, so that they can make a claim on your insurance policy. You cannot avoid this, even if you wish to!
By the Motor Vehicle Act of 1988, all third-party liability claims are settled. This is done under the Motor Accident Claims Tribunal (MACT). The third-party involved has to file for the claim at this tribunal. It could be located near the place of the accident or where the victim or his dependents reside. It can also be done where the owner of the vehicle or the driver involved resides.
Compensation for death or disablement of the third party is not limited. It just depends upon various factors including the earning capacity of the affected.
The liability towards any property damage is limited to Rs. 7,50,000. Any compensation amount over and above this (if required) is to be borne by the car owner.
Can there be anything worse than a stolen car? Perhaps not. That’s why it’s important to know what goes into making claims under this scenario.
If you find out that your car has been stolen, (after you're done freaking out!) the first thing you must do is lodge an FIR at the local police station.
And raise a claim for it. Submit the following documents alongside. This includes copy of your car's registration certificate (RC), copy of the FIR, copy of your driving license. Also, the first two pages of your policy document, and a detailed letter addressed to the RTO.
The police department issues a final 'Non Traceable Report' (usually after six months of trying to locate the car). After this, complete the formalities of transferring the RC of your lost car. This has to be done in the name of the insurance company along with a letter of subrogation.
The claim will be settled once all the documents are submitted to the insurance company.
There may be reasons why your insurer may pay some but not the full value of your claim. This happens when the insurer’s assessment of the level of car damages differs from your assessment. It generally depends on the specifics of the claim, type of coverage, and terms and conditions related to the relevant policy.
In short, your claim is not completely rejected but you don’t receive the entire compensation. It’s always better to go carefully check the policy wordings to avoid such scenarios.
If you sustain injuries or your car is damaged in a hit-and-run accident, you can file a claim on your motor insurance policy, provided it is a comprehensive term insurance cover. Before making a car insurance claim, however, there are some steps to take for ensuring you have sufficient evidence prove the incident. These measures include:
Note down the incident: Record the date, time and location of the hit and run incident. Click pictures of the damages sustained to serve as proof. Also, gather information on the guilty driver’s vehicle, like the car's colour, license plate number, make and model, etc. If you cannot remember details about the accident, check to see if there were any CCTV cameras installed in and around the area.
Filing an FIR: Contact the police right away and make sure an accident report is filed. Doing so adds weightage to your car insurance claim. A copy of the FIR should be sent to the insurance company as this will help establish how the incident occurred, thus preventing any fraudulent car insurance claims.
Collect witness testimonies: Get the names and contact details of witnesses (if any) present at the accident site. Not only will this aid in faster car insurance claim settlement, but it can also help the authorities catch the suspect sooner.
The victim or his or her legal representative shall send in an application to the Claim Enquiry Officer in each Taluka. The Officer shall handover a report along with certificate of post mortem or injury certificate to the claims settlement commissioner. The claim will be processed and the payment shall be sanctioned in a matter of 15 days from the receipt of report from the Officer. The sanction order shall be communicated to the nominated office of the insurance company. Compensation in case of hit and run accidents are made from a Solatium Fund, which is contributed by the non-life insurance industry under a set formula.
Want your claims to be approved without hassles? Then here are some things that you should always keep in mind.
Never leave your car unlocked, even during anxious times.
Always keep a copy of your insurance document in your car.
Follow the traffic rules, and do not drink and drive.
Know what’s covered and what’s not covered in your policy.
Always make sure that you read the policy document carefully. This will help you NOT getting shocked at the eleventh hour.
Making a car insurance claim means giving up on your No Claim Bonus (NCB). So, do a little math and figure out if the claim is worth being made.
Avoid claiming for minor scratches and dents to safeguard the NCB discount on your renewal as it can significantly reduce the premium
In such a case,
So be smart about choosing the right car insurance policy.
Let's assume, a neighbor while parking his car bumped your car giving it an ugly dent. In such a situation, you can file for third party insurance claim. When it is evident and is proved that the accident is not your fault, you can easily refrain from making any claim on your policy. In this case, your neighbor's insurance company will pay for the repair of your car.
Be aware, in case of an accident where a third party is at fault, you will have to file an FIR with the local police and obtain a charge sheet. If you are able to prove third party’s involvement and fault, you stand strong chances to receive approval on your third-party claim.
Also, you could end up losing your No-Claim Bonus discount at the following renewal if you claim on minor damages. If the repair expenses are lesser than your NCB discount at the next renewal, there is truly no benefit in claiming the same. You should only claim the repair expenses, only if the amount is more than the NCB discount.
Just remember that more number of claims make you riskier for them.
This will lead to higher premium and thereby an increased cost. Hence, it may not always be advisable to claim car insurance.
The policy document is a ready reckoner that you can refer for the complete list of documents to be submitted if you have a Car Insurance claim. The documents which you would generally require are:
If you are availing the cashless facility then only the repair invoice would be required. For theft claims, you would need to file an FIR with the local policy. The copy of the same needs to be submitted to the insurance company along with the keys of your vehicle and a non-traceable certificate.
A cashless claim is the complete responsibility of the insurance company. Most of the companies have their own garage network, which can repair the damaged vehicles. The owner does not have to worry about the expenses apart from the consumables (not covered in the policy). The payment of only the difference amount as confirmed during the process of the claim needs to be made.
If you decide to choose your own garage for repair works (not a part of the insurer’s garage network), then you can claim reimbursement for the same. You will need to submit the original bills, payment receipts to the insurance company. This has to be done once you settle the repair amount from your own pocket.
You need to keep certain documents in the car while plying public places. They are: