How to make a car insurance claim in case of theft?
Published On Dec 05, 2020 12:00 PM By InsuranceDekho
With car theft becoming an increasingly common crime in India you may wonder if your insurance provider will compensate for the losses. Read this article to find out.
One of the fastest growing crimes in India today is vehicle theft. It is a serious problem that needs attention. However, though it may not be a happy thought, this is a serious possibility that car owners have to think about in India. We purchase car insurance to protect us against physical damages to the car and for personal financial stability. What can car insurance do in case of a theft? Read this article to find out.
Does Car Insurance Provide Compensation for Theft?
There are three main types of car insurance policies. The first type, third party covers provide compensation for third party liabilities in case of a mishap. It is an obligatory cover, however, will not provide compensation for the theft of a vehicle. The second, standalone own damage cover provides compensation for the damage done to the policyholder’s vehicle and will come in handy in case of a stolen vehicle. A comprehensive plan covers both third party and own-damage aspects. Thus will also cover theft.
How Is Claim For a Stolen Car Calculated?
Car insurance claims are calculated according to the Insured Declared Value or IDV. This is the upper limit for compensation a policyholder can receive. The IDV is affected by the depreciation rate and hence the IDV becomes lower with every passing year. The best way to get the highest possible compensation in such cases is having a Zero Depreciation Cover.
What are the Documents Required For Filing Claim For Car Theft?
The following are the documents that you must provide for filing an insurance claim for a stolen car:
- Claim Form
- Driving License Copy
- Policy Document Copy
- Letter to RTO
- Nontraceable Report
What is the Process for Filing For Car Insurance in case of Theft?
In the event your car is stolen, follow these steps to file for a claim with your car insurance company:
Step 1: In the event, your car is stolen first, file an FIR in your closest police station.
Step 2: Intimate your insurance provider by calling the customer service. Also, enquire about how to obtain the claim form.
Step 3: Once you have the claim form, fill out the form with the mentioned details. Along with the form attach the copy of your driving licence, a copy of the first two pages of your policy document, the FIR, and copy of the letter to submit to the RTO to intimate them about the theft of your car.
Step 4: The claim process will start rolling once the police submit the ‘non-traceable report’. Once the claim is approved, you will need to transfer the RC of the vehicle in the name of the insurance company and hand over all documents and keys of the car. Once this process is complete the insurance will pay the compensation for the loss.
How to Get Duplicate Registration Certificate (RC) of a Car?
What if Someone Not on Your Insurance Drives Your Car?
In a nutshell, a standard car insurance own-damage or comprehensive cover will compensate for losses. In such cases, the claim will depend on the IDV of the car. To obtain a higher claim in such situations it is helpful to have a zero depreciation cover. Make sure to file an FIR as soon as such an incident happens. Car thefts and other uncertainties are a hard truth when dealing with cars, hence it is important to always have an effective car insurance policy. Purchasing car insurance now is easier than ever before. It takes only a few clicks to compare car insurance companies and quotes, calculate insurance premiums, check out their network of cashless garages and avail the variety of add-on covers that are on offer. Click here to read similar articles.
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.