Denial Of Accident Claims For A Variety Of Reasons
Denial Of Accident Claims For A Variety Of Reasons
Table of Contents
A two-wheeler insurance company's refusal to pay a claim is not unusual. Bike insurance is purchased to fulfill legal requirements and to provide financial support in the event of a mishap or accident. However, the insured person's responsibilities do not end there; to settle a claim successfully, he or she must consider a variety of insurance variables. To do so, you must first comprehend the features of bike insurance coverage that will cover your expenditures in the event of an accident. Policyholders may have their claims denied by insurance providers if they are unaware of the policy's provisions and exclusions.
Basic Reasons for Bike Insurance Claim Denial
The following are the most common reasons why two-wheeler insurance claims are denied by insurance companies:
1. Insurance Policy That Has Expired
Any claim requests filed against an expired bike insurance coverage are turned down by the insurance companies. They only provide coverage for the duration of the insurance contract. As a result, it is highly advised that you renew your insurance plan before it expires so that you may continue to receive bike insurance coverage and have a simple claim settlement process.
2. Claims that are not true
Insurance isn't a way to generate money; rather, it's a way to protect yourself from unexpected costs. As a result, its features and benefits must not be used to file false insurance claims. Before resolving insurance claims, insurance companies perform an extensive investigation to ensure that the request is legitimate. If a fake claim is discovered, the policyholder will risk legal consequences in addition to having their claim request denied.
3. Coverage for No Claims
Many consumers fail to read their bike insurance policy materials completely and are ignorant of their coverage. If a person has third-party bike insurance, he or she cannot claim own-damage charges. Additionally, if an insured individual has a complete bike insurance policy but no add-on coverage, you may be responsible for some charges. Insurance claims may be denied as a result of filing the incorrect claim in such circumstances.
4. Illegal acts
When a policyholder makes a bike insurance claim from an insurance provider, it must be ensured that the policyholder has not engaged in any criminal activity; otherwise, the claim request may be denied, which might backfire. At the time of the accident, the insured individual must not have been caught riding a bike while under the influence of drugs or alcohol, doing any stunts, or riding a bike without a valid driver's license. In such instances, the bike insurance provider may deny a claim or possibly cancel the coverage altogether.
5. Use in a Business
There are distinct policies for private two-wheelers and business vehicles when it comes to two-wheeler insurance. As a result, a personal two-wheeler cannot be used for business reasons. If a private scooter or bike is destroyed in an accident or incident while being utilized as a business vehicle, the bike insurance company will immediately deny the claim.
Take Away
Having insurance coverage does not guarantee that you will be compensated for expenditures linked to a motorcycle or scooter incurred as a result of an accident or disaster. Policyholders should read their policy paperwork carefully to learn about the claim procedure and the exclusions. To make things easier, we've compiled a list of common reasons why your claim can be denied. We hope that looking through the items above has helped you understand how to avoid having your bike insurance claim denied.
