Auto insurance is a robust protection against any vehicular eventuality. Every auto owner should get their vehicle insured to cushion themselves. The Motor Vehicles Act of India requires every vehicle to be insured. This stipulation is applicable to both the four wheelers as well as two wheelers. Apart from complying with the legal requirement, getting the vehicle insured is also a smart step to limit your liability in the case of an accident.
Insurance protects you in many cases. Depending on the clauses of the insurance, you may be entitled to a claim in the case of damage to the insured vehicle or third party damage. In order to get properly secured, it is imperative for the insured to be clear about all the clauses involved. Before taking insurance, the consumer should make sure that the insurance meets all their requirements. There are certain points which should be kept in mind before taking out an insurance policy.
Once an insurance policy is taken, the consumer is protected against various mishaps. However, in order to get compensated, the consumer needs to file claim with the insurance companies. These companies require a certain protocol to be followed for the filing of the claim. Different companies have different requirements. Also, different accidents have their own claim filing rules. However, following are the regular steps which need to be followed in most of the cases. Following these steps will minimize the possibility of the rejection of the claim. It will also help to shorten the time period required for processing of the claim.
Approach Police and Insurance Company:
In case of the mishap, the insured should immediately approach the police and the insurance company. Many of the documents required for filing FIR with the police are also required for filing the claim with the insurance company. In such a case, it is a good idea to get the multiple copies of these documents. The instances of these documents are a copy of Police FIR, a copy of policy, copy of license, copy of registration certificate. The claimant is also required to file a claim form. This claim form should be duly filled and signed by the claimant. These steps are common to all types of auto insurance claims. There are some other formalities required to be fulfilled in case of different mishaps. These formalities are discussed below.
Third Party Litigation Claims:
This type of claim requires the filing of vakaalatnama. This document authorizes the insurance company to carry out the case on behalf of the first party. If any legal notice has been served, then the copy of such notice should be filed along with the vakaalatnama.
Damage to the Vehicle:
If the vehicle has been damaged in an accident, then the insurance company generally has two different procedures for cashless and non-cashless claims. It will require the original repair invoice to be filed. This is applicable in the case of cashless claims. In case of non-cashless claims, the insured will be required to file original repair estimates and repair bill.
Theft of the Vehicle:
If the vehicle is stolen, then insurance companies require all the car keys to be deposited with them. The companies may also require a No Trace Report. The report confirms that the vehicle cannot be traced and that it is not accessible.
In order to make the process smooth, the insured must take care to submit all the necessary documents. This saves time and energy. Once the documents have been submitted, the company registers the claim. Upon registration, the insured is contacted by the customer care department of the insurance company. All the documents are thoroughly scrutinized. This involves checking of the documents and the documents are also verified against the original documents.
Some of the claims may be rejected at this initial stage. This happens when all the required documents are not filed. In this case, the claimant may be given a chance to rectify the situation, although it delays the process. Other reason for rejection is the filing of false claims and providing false data.
However, if the claim is registered, then the company moves ahead to estimate the damage or loss. Upon such calculation, the company intimates the claimant about their decision and informs the amount approved. The amount may be equal or less the original claim filed by the person. The insured may accept or reject such approved amount. In case of rejecting the amount offered by the company, the injured party may decide to take the case to the court. There are different authorities which may be contacted for such appeal. The insurance sector is governed by an ombudsman, which may be approached for such grievances.
The insurance claim process goes smoothly if above given steps are taken care of.
