6 Common reasons for Bike Insurance Claim Rejection
There are quite a few instances where the insurance company may reject your bike insurance claim. It is essential to take note of them and be cautious while exercising a claim. Rejection of claims due to certain reasons may affect your future prospect of availing two wheeler insurance later. Ensure you are aware of these reasons and make sure your claims don’t get rejected.
The following are some of the reasons as to why your bike insurance claim may be rejected.
1. Policy Coverage
It is vital to ensure that your policy covers the damages that you claim. For example, suppose you hold a third party liability insurance and file a claim for the damages incurred to your bike. In that case, your claim request may get rejected. It is the reason why we recommend purchasing a comprehensive bike insurance policy that has broader coverage.
2. Insurance Policy in Lapsed state
If you don’t renew your bike insurance policy on time, it goes into a lapsed state. Claims filed when your insurance is in the lapsed state are summarily rejected. It is advised to avoid such rejections by renewing your policy on time.
3. Not having a valid license
Suppose you do not have a valid license at the time of the accident, the bike insurance company will instantly reject your claim. Driving without having a license is a severe offense. So, ensure you have your license at all times when you are driving. If the license is nearing its expiry date, ensure you renew it before the expiry date.
4. Drunken driving
Suppose the damages to your or third parties vehicle occur when you are under the influence of alcohol or drugs. In that case, the bike insurance company will reject your claim as it comes under exclusions. Also, do remember driving under the influence of alcohol or drugs is a punishable offense by law.
5. Fraudulent claim
Whenever an insurance holder requests a claim, the insurance company investigates the incident’s veracity and claim. If the company finds that the claim has been raised with the intention to defraud the company and obtain compensation, then such claims are rejected. Also, the company may initiate legal action against people filing such fraudulent claims.
It is essential to file a claim as soon as possible after the accident that caused damage to your vehicle or the third party’s vehicle. Delay in filing a claim may result in claim rejection as the company would likely see the delayed period as an opportunity to distort evidence, especially in claims where FIR has to be filed.
The points mentioned above are a few common instances where the bike insurance company rejects your claims. Before filing a claim, ensure you are well informed about the terms of the policy. It is always wise to look at the exclusion list before buying a two-wheeler insurance policy. It would give you an idea about claim rejections.