Reasons Behind Denial Of Accident Claims
Updated On Feb 25, 2022
Here are some of the reasons why your auto insurance claim can be refused.
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Bike insurance is obtained to meet legal requirements as well as to give financial help in the case of an accident or incident. The responsibility, however, does not end there; in order to settle a claim successfully, insured persons must take care of a range of insurance factors. To do so, you must first understand the many aspects of bike insurance coverage that will pay your expenses if you are involved in an accident. Policyholders who are uninformed of the conditions and restrictions of their insurance policy risk having their claims refused by their insurer.
Reasons for a Two-Wheeler Insurance Claim Being Rejected
The following are the most typical grounds for insurance companies to deny two-wheeler insurance claims:
Insurance Coverage That Is No Longer Active
The insurance companies will deny any claim demands made against an expired bike insurance policy. They only offer coverage for the length of the insurance. As a result, it is critical that you renew your insurance policy before it expires so that you may continue to get bike insurance coverage and file claims quickly.
Insurance isn't a method to make money; it's a way to safeguard yourself from unforeseen expenses. As a result, its services and benefits must not be taken advantage of in order to submit false insurance claims. Insurance firms do comprehensive investigations before resolving claims to guarantee that the request is genuine. If a policyholder is found to have filed a fraudulent claim, he or she will face legal action in addition to having the claim request canceled.
No-Claim Bonus Insurance
Many people do not read their bike insurance policy paperwork thoroughly and are unaware of their coverage. If a person has third-party bike insurance, he or she will be unable to file a claim for own-damage payments. You may also be responsible for some out-of-pocket expenditures if an insured individual has a complete bike insurance policy but no add-on coverage. Insurance claims may be refused in such circumstances because they were submitted wrongly.
When a policyholder makes a bike insurance claim from an insurance provider, it must be assured that the policyholder has not engaged in any illegal conduct; otherwise, the claim request may be refused, which might have unintended consequences. The insured person must not have been detected riding a bike while under the influence of drugs or alcohol, doing any stunts, or riding a bike without a valid driver's license at the time of the accident. The bike insurance company may refuse the claim or even terminate the policy in some cases.
When it comes to two-wheeler insurance coverage, there are separate plans for individual two-wheelers and corporate vehicles. As a result, using a personal two-wheeler for business purposes is illegal. The bike insurance provider will refuse the claim if a private scooter or bike is destroyed in an accident or incident while being used as a commercial vehicle.
It is not enough to have insurance coverage to be reimbursed for expenses incurred as a result of a motorbike or scooter accident or disaster. Policyholders should carefully examine their policy documents to learn how to submit a claim and what exclusions apply. We've compiled a list of frequent reasons why your claim may be refused to make things easier for you. We hope that reading through the tips above will help you prevent bike insurance claim denials by following the right processes.
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Disclaimer: This article is issued in the general public interest and meant for general information purposes only. Readers are advised not to rely on the contents of the article as conclusive in nature and should research further or consult an expert in this regard.