Two-wheeler insurance plans are a mandatory requirement given the rules of the Motor Vehicles Act, 1988. The policy covers the financial loss that you suffer in an emergency involving your two-wheeler. Since two-wheeler are a popular mode of conveyance for many, two-wheeler insurance plans are also quite in-demand. These policies are comprehensive and compensate you for any possible financial losses.
That being said, there are instances when your two-wheeler claim can get rejected. Here are 5 such clauses or reasons that might lead to claim rejection. Moreover, there are handy tips using which you can avoid possible rejections. So, read on –
Lapsed plan
The coverage of your bike insurance policy is valid for a specific time. Thereafter, you have to renew the policy for continuous coverage. For renewing, there is a due date up to which the coverage is available. If you do not renew the plan within the due date, the policy lapses. In a lapsed policy, coverage is not available. So, if you suffer a claim when the policy is in a lapsed state, your claim would be rejected.
How to avoid rejection?
Renew your policy within the due date every year. This would continue the coverage without any break and if you suffer a claim, the same would not be rejected.
The exclusion clause
Every two-wheeler insurance policy has a list of exclusions. These exclusions depict the instances when the claim is not payable. For example, drunk driving is excluded. If you are driving under the influence and you suffer a claim, your claim would be rejected.
How to avoid rejection?
Study the exclusion list of the policy. When you suffer a claim, check if the claim does not fall into the exclusion list. If it does, avoid making a claim to avoid rejections.
Inadequate coverage
Third party liability plans do not cover the damages that your bike incurs. Though they fulfil the legal mandate of owning a bike insurance policy, their coverage is inadequate. So, if you have invested in a third party policy and your bike suffers any type of damage, a claim for such a damage would be rejected because the policy does not cover it.
How to avoid rejection?
Opt for a comprehensive two wheeler insurance policy. It covers both third party liability and the damages that your bike suffers. In a comprehensive plan, you wouldn’t face rejections due to inadequate coverage.
Delay in filing the claim
Your bike insurance claims should be filed on time. Delays raise questions. Moreover, if you delay the claim considerably, the insurance company might reject the claim altogether fearing a possible fraud.
How to avoid rejection?
File your claims within time. Inform the insurer immediately after you suffer a claim and get the claim registered. Thereafter, file the claim within the specified timeline and get it settled at the earliest.
Fraudulent claims
It is a no brainer. If you make a fraudulent claim or if the company suspects foul play, your claim would be rejected. If your claim is, however, genuine, you can make an appeal to the insurer or raise a dispute. After the appeal or the dispute is resolved and the claim is found to be genuine, it would be settled.
How to avoid rejection?
Do not make fraud claims. It is as simple as that. To eliminate the possibility of foul play, back up your claims with documentation detailing the expenses incurred.
A good way to avoid rejection, while submitting a bike insurance claim, is to read the policy wordings carefully. It would highlight the coverage details as well as the exclusions. Also, follow the claim process so that your claim is settled easily and without delays.
Insurers have simplified the bike insurance claim process. As long as your claim clears the aforementioned clauses, your claim would be settled if you comply with the claim process and submit the relevant documents. Take help if needed but make sure to file the right claim for your bike insurance policy.
