Cashless Car Insurance

In motor insurance to make the entire claim process more hassle-free insurance providers offer cashless compensation for repairs. This is done by insurance companies that have tie-ups with certain garages (car repair shops). At these partner garages, an insurance company settles a car insurance claim in a cashless manner, i.e, it settles the repair bill directly with the garage. Thus, the policyholder is not required to pay anything to the garage for the repairs of their car except their own liabilities.

In case of a mishap, you can inform your car insurance company and get your car transported directly to one of these cashless garages. Here the car will be inspected and repaired and the cost communicated to the insurance provider all without bothering you about it. Additionally, these places ensure a high quality of service as well as spare parts which ensures you have one less thing to think about.

While buying a car insurance policy, you must check how many cashless garages are a part of the insurer’s network. The wider the network of cashless garages, the better it is.

Benefits of Cashless Car Insurance Policy

When you get your four-wheeler repaired at a cashless garage, you enjoy the following benefits:

1. Hassle-free Experience

Since it is a cashless garage, i.e. a garage which is a part of the insurer’s network, you can enjoy a hassle-free claim process as everything will be handled by the insurer itself. Policyholders do not even have to pay for the repair or replacement done at the cashless network garage.

2. Priority in Service

The partner garages of insurance companies give priority in service to the insurer’s policyholders. Thus, at these network garages, you can expect to get speedy service. As the network garage gets in touch with the insurer directly, the process from payment to repair completes without hassle.

3. Quick Claim Settlement

At cashless garages, the claim settlement happens quickly as compared to reimbursement claims which may take 7-10 days for settlement. Since, the insurance company refers to the surveyor’s report to approve the claim after which repair work starts, the process is bound to settle quickly.

4. Guaranteed Quality Service

Every insurance company ensures that good quality service is given to its policyholders. To ensure such quality service, insurers tie-up with the top-notch network garages or workshops which fulfill their quality repair criteria. With this process, the policyholders tend to get better repair service and overwhelming satisfaction.

5. Transparency

Since the insurance company’s surveyor is directly involved in the claim insurance process by visiting the network garage from beginning, the entire settlement process becomes highly transparent and the insured person as well as insurance company are assured of no fraud and ensures correct billing, as the repair estimates are sent before the commencement of any repair work.

Overall, it can easily stated that the cashless car insurance can make your claim settlement process quite easy and quick. It is a much more convenient, easier and transparent process than reimbursement process, but it also provides a higher amount of customer satisfaction with better service and repair quality offered by authorized car garages.

How To Make A Cashless Car Insurance Claim at A Network Garage?

To make a claim at a cashless garage you can follow the instructions below:

Step 1: If there is any kind of damage to your car, then inform your insurance provider regarding the same as soon as possible. Make sure to inform them regarding the most damaged parts. Later, tow or drive your car to the nearest garage listed by your insurance provider.

Step 2: Complete the policy document and get it approved for cashless repair. Also, you might be required to pay for depreciation on some parts of your car as well as for the deductibles.

Step 3: After the repair work is over, an invoice would be raised on behalf of the garage for the insurance company alongside the necessary documents. Once, assessing and verifying the documents, the insurance company would release the payment.

Step 4: Only the damages covered under the insurance plan would be paid by the insurance company. Any extra repair cost needs to be met by the policyholder.

Find below the top motor insurance companies in India providing cashless claim settlement for car/vehicle.

(*Claim Settlement Ratio For FY 2018-2019 As Per IBAI’s General Insurance Claim Insights Handbook For Policyholders - 4th Edition)