HOW TO FILE A CLAIM IN CAR INSURANCE

 

Purchasing your first car can be an exciting moment. However, it is important to purchase the best car insurance for your needs. Understanding how to make a claim for when your car has been damaged in an accident, stolen, or had a claimable incident can help you to know the process.

Understanding how to make a claim can help you ensure that you are taking the correct steps at the correct time. Whether you are claiming for repairs relating to an accident, a no claim payment or reimbursement.
This article will tell you everything you need to know about how to make a car insurance claim in India, what documents you need, types of claims and how to make them.

What Is A Car Insurance Claim?

A car insurance claim is an official claim made by the policyholder to the insurance company to receive payment in relation to an incident that is covered by the policy. This can involve getting compensation for damages caused by an accident, theft or third-party.
For example, if your car has been damaged in an accident and you have either a comprehensive or own damage standalone policy you can notify your insurance provider to make a claim relating to the repairs.
Car insurance claims generally involve notifying the insurance company, providing details and documents, having your car inspected and then completing the repair process.

The insurance company will look at the claim in relation to your policy and determine how much you will be paid based on what is covered, what is not covered, what the excess is and other conditions. This may mean that you do not receive the full cost of the repairs.

Note: A third-party-only policy will cover any valid legal liability you incur for injury, death or damage to third-party. They will not cover you for damage to your own car. You will generally need an own damage standalone policy or comprehensive policy.

What Documents Are Required For A Car Insurance Claim?

Having the correct documents to hand can help make the process of claiming for your car insurance easier. The documents you will need will depend on the insurance company and type of claim you are making.
Some of the common documents you may need are:
Document Purpose
Car Insurance Policy Proof of insurance
Claim Form Completed claim form
Registration Certificate Proof of car registration
Valid Driving Licence Proof of valid driver's licence
FIR/Police Report May be required for theft, major accident, third-party or other incidents
Repair Estimates & Bills To allow the insurance company to determine the cost of repairs

Proof of Payment For reimbursement
Photos/Videos Proof of damage and where the accident occurred
Medical docs & bills may be required if the claim relates to injuries.
The insurance company may ask for further documents, for example if you are making a claim for your car being stolen they may require you to provide your keys, original documents and non-traceable report or other documents from the police.

Different Types Of Car Insurance Claims

There are generally two types of car insurance claims; cashless or reimbursement. This will depend on your policy, insurance company and garage.

1. Cashless Car Insurance Claims

A cashless car insurance claim means you can have your insured car repaired at an authorised garage from your insurance company and you will not pay the full amount of the approved repairs.
Once you have reported your incident the insurance company will register your claim and have your car inspected. Once your claim has been approved you will be paid the admissible cost of the repairs directly by the insurance company to the network garage.
You may still have to pay some costs such as excess, depreciation, consumables and other costs that are not covered.

For example, if the total cost of your repairs is ₹30,000 and your insurance company approves ₹25,000 after deductions, they will pay the approved amount directly to the garage. You will have to pay the remaining amount of ₹5,000.

Advantages Of A Cashless Claim:

Reduces having to pay for the full amount of repairs.
Direct payments between the garage and insurance company.
Easier to deal with repair paperwork.
Track your claim using the insurance companies claim support.

 2. Reimbursement Car Insurance Claims

A reimbursement claim means you can have your car repaired at a garage of your choice. This will depend on your policy.
You will have to pay for the cost of repairs, however once this has been completed you can provide the insurance company with the necessary bills, proof of payments and other documents. They will look over your claim and pay you the approved amount after deductions.
For example, if your car cost ₹25,000 to repair, the insurance company will pay you ₹20,000 after looking over the costs and applying policy deductions.

Advantages Of A Reimbursement Claim:

Provides you with flexibility to choose a garage.
May help if there are no suitable network garages in your area.
Easy to arrange repairs and get reimbursement for eligible costs.

Cashless or reimbursement car insurance claim
Cashless Reimbursement
Garage Authorized Network Garages Choice of garage (subject to policy)
Payment You will generally only have to pay the applicable deductions and costs that are not covered You pay for the cost of repairs.
Payment Insurance company pays the approved amount directly to the garage. You are paid the approved amount by the insurance company
Documents Claim documents & repair assessment Claim documents, original bills & proof of payment
Convenience Less payment required & easy to get paid. More flexibility.
Both types of claims can be helpful. Choose whichever is suitable for you and ensure you know what the insurance company’s claims process is before repairing your car.

How To Make A Car Insurance Claim In India

Depending on what has happened to your car (damaged in an accident, stolen or a third-party incident), the process may vary. However, below are the general steps to making a claim for an accident-related own damage.

1. Safety First & Notify Insurance Company

Always ensure you are safe. If you are involved in an accident move to a safe place and make sure nobody requires any medical assistance. Contact emergency services/police if required.
Once you have everything under control notify the insurance company as soon as possible. This can be done online, via the mobile app, customer service number or through a branch.
Provide basic information such as:
Car registration
Policy number
Date, time & location of accident
Brief description of incident
Driver & policyholder contact details.
Ensure you are within the time frame detailed in your policy.

2. Gather Information About The Accident

Gather as much information as you can about the accident. This will help the insurance company understand what has happened and assess the damage.
If your car was involved with another car make a note of the registration number and gather the contact details of the other driver. Take photos/videos of the damaged cars, location of accident and surrounding area (if it is safe to do so).
If there are any witnesses gather their contact details.

3. File A Police Complaint (If Applicable)

Depending on what has happened you may need an FIR or police report. This is especially important if your car was stolen, involved in a serious accident, there were injuries or third party injury/property damage.
Ensure you give accurate details regarding the location, time, cars involved and any injuries/property damage. Keep a copy of your FIR or appropriate police acknowledgement.

4. Make A Claim

Make a claim online, via the mobile app, customer service or other authorised method.
Complete the claim form with accurate details and provide the documents requested. Once you have made a claim you will generally be provided with a claim reference/number. Keep this safe so you can track your claim.

5. Have Your Car Inspected

The insurance company may have a surveyor/loss assessor inspect your car and determine the cost of repairs.
This will help the insurance company understand how much damage there has been and how much they will be paying.
Do not start repairing your car or disposing of damaged parts until you have followed the instructions given by the insurance company.

6. Choose Between Cashless Or Reimbursement

Once you have completed the necessary claim process you can follow your insurance company’s instructions.
Cashless – Take your car to an authorised network garage. The insurance company will pay for the approved repairs directly to the garage.
Reimbursement – Have your car repaired as instructed. Then pay for the cost of repairs and provide original invoices & proof of payment.
Always confirm with your insurance company regarding payment.

7. Complete Claim

Once your car has been inspected, documents checked and repairs assessed the insurance company will process your claim.
For a cashless claim they will pay the approved amount directly to the garage. For a reimbursement claim they will pay the approved amount to the policyholder once the necessary documents have been checked.
Check the details of your settlement and keep copies of your claim documents.

How Does The Claim Process Work For Different Scenarios?

Depending on the incident you may need different documents.

1. Own Damage Claim

An own damage claim can be made if your insured car has been damaged in an accident, fire, natural calamity or other insured incidents.
You will generally need to:
Notify your insurance company.
Provide a claim form & documents.
Have your car inspected.
Get your car approved for repairs.

Pay any applicable excess & non-covered costs.

2. Third Party Claim

A third party claim can be made if your car has caused injury, death or property damage to another person/their property.
Notify the insurance company immediately and report the incident to the police where required. Provide the insurance company with the relevant car, driver & accident details.
Third party injury and death claims will generally be handled through the appropriate legal process (including MACT if applicable). Do not attempt to settle independently or admit liability without following your insurance company’s instructions.

3. Car Theft Claim

If your insured car has been stolen notify the police & insurance company.
The general process will be:
File an FIR with the police.
Notify the insurance company & make a theft claim.
Provide the insurance company with the policy & car documents.
Cooperate with police investigations.
Provide the non traceable report or other documents when issued by the relevant authority.
The insurance company will process your claim based on your policy.

Why Would My Claim Be Rejected?

Your claim may be rejected if the incident or actions of the policyholder do not comply with your policy. Common reasons for claims being rejected are:

Driving Whilst Under The Influence – Claims may be rejected if you were driving whilst influenced by alcohol or prohibited substances.
Invalid Drivers Licence – Claims may be affected if you did not have a valid drivers licence.
Insurance Not Transferred – If the ownership of your car has changed and the insurance has not been transferred you may not be eligible to make a claim.
Late Claim Notification – If you do not notify the insurance company within the required time frame this may cause issues with your claim.
Not Covered – If the damage was caused by something not covered by your policy.
Incorrect Information – Providing incorrect information or fraudulent documents can cause your claim to be rejected.
Repairs Not Approved – Starting repairs without following the insurance company’s instructions for survey & approval may affect your claim.
To reduce the risk of any issues with your claim read through your policy wording carefully, provide accurate information and follow your insurance company’s instructions.

Tips For Making Your Claim Easier
Notify the insurance company quickly.
Take photos.
Keep copies of your policy, RC, drivers licence etc.
Do not make unnecessary repairs until you have followed the insurance company’s instructions.
Use a network garage for cashless claims.
Provide accurate information.
Understand what your policy will charge you (excess, depreciation, not covered & add-ons).
Keep a record of your claim (claim number, emails, proof of payment, survey details & settlement).

FAQs

Q1. How do I make a car insurance claim after an accident?

Ensure everybody is safe and arrange any medical assistance where needed. Notify the insurance company, make a claim, provide details of the accident & documents. Have your car inspected and approved for repairs.

Q2. What documents are required for car insurance?

Common documents include your car insurance policy, claim form, RC, drivers licence, repair bills, proof of payment & photos of the damage. You may need an FIR/police report.

Q3. What is the difference between cashless & reimbursement car insurance claims?

With a cashless claim the insurance company will pay the approved amount directly to a network garage. With a reimbursement claim you will pay for the cost of repairs and then be paid the approved amount once you have provided the required documents.

Q4. Do I need an FIR for my car insurance claim?

You will not generally need an FIR for minor accidents or own damage. However you may need one if your car was stolen, involved in a serious accident, there were injuries, third party damage or other situations.

Q5. Can I make a claim as the second owner?

You may be able to make a claim if the ownership has been transferred correctly. Ensure the RC & insurance show the correct ownership.

Q6. Can an insurance company reject my claim if I’m late notifying them?

Yes, if you do not follow your policy’s instructions for notifying them your claim may be affected. Notify them as quick as you can. If there is a genuine reason for the delay explain this and provide evidence.

Q7. Will my claim be accepted if I was driving whilst under the influence of alcohol?

Driving whilst under the influence of alcohol or prohibited substances can result in your claim being rejected. Always follow road safety rules and do not drive whilst under the influence.

Q8. Can I use any garage for a cashless claim?

Generally you can use a cashless garage within the authorised network. If you choose a garage outside of the network you may need to use the reimbursement process. This will depend on your policy.

Q9. How long will my claim take to be settled?

This will depend on the type of claim you are making, inspection, documents & repairs. Providing full & accurate documents can help prevent any delays.

Q10. Will my No Claim Bonus (NCB) be affected if I make a claim?

Your NCB may be affected if you make an own damage claim. This will depend on your policy & if you have a NCB protection add-on. Third party claims will generally not affect your own damage NCB.

Q11. Can I claim for damage to my car with a third party policy?

No, a third party only policy will only cover you for valid liabilities towards third parties. You will need an appropriate own damage or comprehensive policy.

Q12. What should I do if my claim is rejected?

Ask the insurance company why your claim was rejected in writing. Look through your policy & documents. If you believe the decision was incorrect you can raise a grievance using the official complaint process & applicable insurance grievance redressal.

Understanding how to make a car insurance claim can help you feel confident when your car has been damaged, stolen or involved in an accident. By notifying the insurance company, providing the correct documents, having your car inspected and repairs approved you can make your claim.

When purchasing/renewing your policy ensure you compare what is covered, not covered, excess, claim support and network garages. At QuickInsure you can look at car insurance options.