Posted by Seeing a dent or scratches on your motor can be heartbreaking, especially if it is caused by someone’s else fault or during the time of the accident. Motor insurance is mandatory and you buy an insurance plan mainly to secure yourself from heavy financial burdens that may charge you alongside owning a vehicle. When you claim your damaged car, you expect an instant payback, and if you are not able to repay your money, it can be very frustrating. Therefore to avoid such circumstances, where you are not able to make a claim, you should familiarize yourself with the reasons, why a genuine claim made on your behalf can be rejected.
1) No Driving License
If a person is driving a car and not carrying his license at the time of the accident, the claim will be rejected. Also, the person who is driving the car needs to have a valid license that has not expired and is valid only for specific vehicles. If you have a license for a two-wheelers car but meet with an accident while driving a car your claim will be rejected.
2)Driving under intoxication
Another reason for the claim rejection is a drunken driver. Since it is illegal to drive while you are drunk, any claim that is raised from an accident caused due to drunken driving will be rejected. These actions are against the law and, hence, there’s not much an insurer can do at the time you do your claim.
3)Commercial Use Of Vehicle
If you have bought a car for your personal use but at the same time, you are using it for commercial purposes also during that circumstance your claim will be rejected. If you are using your car for goods and transport instead of your personal use and in that case, if you mistakenly hit another person’s car passing by and caused dents in your car for which you reported your damage claim. The insurance company will deny those kinds of claims if they find a breach of the policy condition.
4) Delay In A Renewal Of The Policy
You must renew your policy every year before it expires. A claim against the policy whose tenancy has expired is never happy. To approach your insurance provider with an expired policy at the time of making a claim would get your claim rejected.
5)Lack Of Insurable Interest
If the owner forgets to transfer the registration and insurance to his name and if he met with an accident, in that case, his claim will get rejected. An insurable interest is an interest that protects anything subject to a financial loss.
6)Uncovered Losses
Your motor insurance policy does not cover the intentional damage loss, suppose if you are breaking your car on purpose and then you go and file a claim in such cases the insurance company will reject your claim.
7)Non-Disclosure
Wrong or no information is the most common factor for the rejection of claims. If you are drunk and you don’t tell your insurer that you met an accident because you were drunk in such a case you go and claim your policy and if the insurer finds out the reality behind the accident then in such case your claim will get rejected.
8)You Don’t Own The Car You Drive
If you bought a second-hand car from your friend and the transfer from the ownership to your name is still due and if you are learning how to drive a car, in that situation if you hit a car of someone else and it got damaged, and the person files a claim against you and you were asked to show the insurance policy in such cases the claim gets rejected. If you call your insurance company that denied your claim because there was no legal transfer of ownership through RTO. Not only this, the traffic policeman will charge you a fine because you were caught driving without an insurance policy.
9)Claims Arising Out Of Consequential Loss
If your car is already damaged and without its maintenance, you keep continuing to drive which further deteriorated the condition and leads to engine damage, then such losses will not be covered under the policy insurance.
10)Missing An Insurance Renewal
If you are owing a car and your insurance policy expired just a few days back and you missed the renewal and just after some time of your expired policy you met an accident in which your car was damaged with intense dents. And when you intimate the insurance company about the loss, they will not be considered the claim because your car was uninsured.
11) Driving A Modified Car Without Intimation
When you purchase the insurance policy, you make some declaration on the policy paper-like engine capacities, alloys, or others, and only such parts will be covered under the policy if you upgraded your care without informing the insurer, so if you met an accident the insurance company has the full authority to reject your claim.