HOW TO PREVENT CAR INSURANCE CLAIM REJECTION IN HDFC ERGO

When you buy a car, you invest a lot into it. This vehicle becomes your second home. So, if someone damages your beloved vehicle, it can be heartbreaking. Another thing that can worsen the condition is if the HDFC Ergo car insurance claim is rejected.

Rejection especially feels bad when it affects your bank balance. But unlike all the myths in the market, there are specific reasons why HDFC Ergo may reject your car claim. During an HDFC Ergo car insurance claim process, you need to fill out an application form with the correct details. HDFC Ergo can reject your plea if there is a small mistake in the application form.

So, to prevent rejection of insurance claims by HDFC Ergo, you must follow these steps.

Mistake #1: Ensure That the Car Policy Has Not Lapsed

If you have not renewed your insurance, it is likely that the policy has lapsed. Driving a vehicle with an expired insurance policy is illegal and is risky. So, if you are in an accident, HDFC Ergo will deny coverage for your car.

Mistake # 2: Do Not Drive Under the Influence

During the accident, if you are found drunk, the company will not provide coverage. So HDFC Ergo has every right to reject your plea if you were driving under the influence.

In many cases, people try to hide the fact that they were driving under the influence of alcohol. If there has been a major accident, the hospital might let the company know during the investigation. Therefore, the company can deny your insurance claim.

Mistake #3: If You Do Not Let the Company Know Within Time

If you are late in letting HDFC Ergo know about the accident, the company may reject your plea. So, it is necessary to inform the company within 36 hours of the accident.

Mistake #4: If You Ran Away from The Accident Scene

In most cases, people run away if they are in an accident. According to the rules, you should not move your or the third-party car after the accident. If you need to clear out traffic or public aggression, immediately inform the nearest police station.

Mistake #5: Getting A Panic Attack

At the time of the accident, it is natural to panic and gets stressed. Therefore, you may act aggressively or nervously. On the other hand, some people become submissive and accept the blame. Do not do any of these.

Mistake #6: Not Calling the Cops

The third party will try to arrive at a mutual financial settlement without getting the police involved. Remember, it is illegal. So, stay away from such settlements. This is one of the main reasons why an insurance claim can be denied.

Mistake #7: If You Are Using Your Personal Car for Other Purposes

After an accident, the insurance company conducts an investigation. If the company finds out that you were using your personal car for commercial needs during the accident, they can deny your plea. So do not let anyone take your private car without knowing the purpose. 

Mistake #8: If You Have a Wrong Insurance Policy

One of the main reasons your car insurance claim can be rejected is if you have the wrong car insurance policy. This is why you should choose your car insurance policy wisely and not go for the low premium ones. HDFC Ergo asks the customers to read the documents before signing.

Mistake #9: If the Policy Does Not Have Your Name

Remember to transfer your name and documents when you buy a used car. If the insurance papers still have the first owner's name, the company can deny your car claim.

Mistake #10: If You Do Not Have a Valid PUC

You need to make sure that you have a valid Pollution Under Certificate (PUC) while renewing your insurance policy. If you do not have one, then it may result in getting your car insurance rejected

Mistake #11: If You Declare a Wrong NCB

You must ensure that you have declared the correct NCB or No Claim Bonus of your previous insurance policy. If any claims under the new policy are wrong, HDFC Ergo can reject your plea.

Mistake #12: If You Are Operating a Vehicle Without a Correct License

Operating a vehicle without a proper driving license is prohibited in our country. So, if the company finds out you were driving without a license, they can deny any coverage.

Mistake #13: If You Add Accessories to Your Vehicle

Whenever you modify your vehicle, you must let your insurance company know. If you do not let the company know, they can reject your insurance claim at the time of the accident.

Mistake #15: If You Do Not Follow Traffic Rules and Regulations

Whether you are making insurance claims or not, you must always follow the traffic rules and signals whenever you are driving.

So, if you over speed or skip a red light, and the accident takes place because of this, the insurance company may reject your claim.

FAQs

 

Q1. What are some common reasons when a company can reject your car insurance?

Ans: Here are a few common reasons when an insurance company can reject your insurance claim:

• If you have not been paying your monthly premiums
• You have committed fraud or offered false information
• You have an invalid driver's license

Q2. How to reject a low settlement offer?

Ans. If you are not happy with the low offer, you can reject the claim. Always remember to reject an insurance claim in writing. First of all, you need to type a letter to your insurance agent in the company and list all the reasons you think why the offer is too low. Attach concrete evidence with the letter. Finally, you have to mention the amount which you think is reasonable.

Q3. How to speed up my insurance claim process?

Ans. Some ways to speed up your insurance claim are:

• File a report with the company as soon as possible
• Contact an attorney
• Clear all your previous records
• Respond to any queries immediately

Q4. How long does an insurance company need to pay out the money?

Ans. If everything goes right and all the documents are correct, the insurance company usually takes about 30 days to pay the claim. However, the time may vary depending on various other factors.