8 ways to prevent your car insurance claim from getting rejected

Your car is a luxury item and it is important to ensure that you protect it by purchasing a valid motor insurance policy. In case something happens to your vehicle such as it getting damaged or stolen, you can claim compensation for the same. In case you are involved in an accident, your car insurance policy can be a huge help from a financial point of view. However, there can be times when your claim may get rejected as well. Hence, it is important to read the policy documents so that you are aware of the exclusions and also the circumstances under which the insurance company may reject your claim. We will have a look at some of the reasons due to which the insurance company may reject your claim.

  1. Breaking the law: The insurance company will reject your claim if you had broken a traffic law which had resulted in your vehicle getting damaged. You must also understand that violation of traffic rules results in fines which may play a role in the insurer being unwilling to provide you with a policy in the future. Hence, you must ensure that you follow the traffic rules and never break the law so that your claims do not get rejected as a result.
  2. Renew your policy on time: It is important that you get your car insurance policy renewed on time. The insurance company will only cover you for the time your policy is in force. Once your policy expires, the insurance company is under no obligation to pay you the claim amount in case of any damage to your vehicle. Hence, in order to enjoy the benefits of your plan, you must ensure that you renew your policy on time.
  3. Inform the insurer before getting your vehicle repaired: Do not inform the insurance company after getting your vehicle repaired for there is a very huge possibility that they may reject your claim. The reason why you must inform the insurance company before getting your vehicle repaired is that the insurer sends a claim accessor whose job is to inspect the damage and inform the insurance company of the estimate of the damage. Based on this information the insurance company then initiates the claim process. Hence, always inform your insurer before getting your vehicle repaired.
  4. Declare any modifications made to your vehicle: Your premiums may increase if you modify your vehicle. Hence, if you make any changes to your vehicle, you must inform the insurance company immediately as the failure to do so may result in your claim getting rejected.
  5. Do not use your vehicle for any illegal activities: Do not expect the insurance company to pay you the claim if your vehicle was found part of any illegal activity. Any activity which is immoral in nature and of which your vehicle has been part of will result in the claim getting rejected. You must also note that if you take part in a hazardous activity such as racing, your claim will not get processed in case of an accident or damage caused to your car. Under most policies, racing is considered as an illegal activity for which the insurer does not provide coverage.
  6. Do not forget to transfer the ownership: If you have purchased a vehicle from someone, do not forget to transfer the ownership of the vehicle under your policy and vice versa. You need to inform the insurer about the vehicle that you may have bought or sold. In case there is any damage caused to the vehicle in the future, the insurance company will not provide coverage since you did not inform them about transferring the ownership of the vehicle.
  7. Not driving without a valid driving license: The insurance company will reject your claim if they find that you did not have a valid driving license at the time of the accident. It is a rule that you must always have a driving license whenever you are driving. Thus, in order to avoid getting your claims rejected, you must ensure that you have a valid driving license.
  8. Do not use your private vehicle for commercial purposes: Never use your private car for commercial purposes. In case you feel that you can use your private car for commercial reasons, you will have to get an appropriate passenger carrying an insurance policy. If the insurance company finds out that at the time of the accident you were using your private vehicle for commercial purposes, they have all the rights to reject your claim. Hence, inform your insurance company if you plan to use your car or vehicle for business purposes and purchase a valid insurance policy for the same. This will ensure that your claim is not rejected in the future in case something happens to your vehicle.

Hence, these are some of the things that you can keep in mind to ensure that your car insurance claim is not rejected in the future. You must always read your policy document thoroughly so that you are aware of the situations under which the insurer may reject your claim. You must always ensure that you follow the traffic rules and keep the insurer in the loop in case your vehicle requires any repairing, changes, or modification of any kind.