By the laws laid under the Indian Motor Vehicle Act, it is mandatory to have a third-party insurance policy for your vehicle to be able to run on the roads. Today, with the advancements in technology it has become super easy to buy bike insurance online without much of a hassle. Nevertheless, buying an insurance policy is quite a bit different from buying anything else as it is an intangible product.
In the past few years, there have been a lot of cases of bike insurance claim rejections and it is high time we find out the top 10 reasons why it is happening.
Top 10 reasons why your bike insurance claim can get rejected
Invalid Driving license
If you place a claim request against your bike insurance but own an invalid or expired driving license, there are high chances that your insurer might reject your claim.
Drunk Driving
Drunk driving or driving under the influence of any drug is illegal and can cause fatal accidents. If you face an accident under any intoxication, then it is obvious for your insurance company to reject your claim.
No coverage
When you buy bike insurance online, there are two kinds of plans offered: third party insurance that is mandatory, and a comprehensive plan is one that covers the owner’s damages. If you only have a third-party bike insurance online policy but you are filing a claim for your damages then your claim will be cancelled.
Lapsed policy
It is very obvious for your insurers to reject your claim if you raise a claim under a lapsed or expired bike insurance policy. Therefore, make sure you keep renewing your bike insurance policy from time to time to avoid such situations.
Not filing a claim early
I have often seen that insurance companies reject claims for those who do not raise their claim issues immediately or within the given timeframe.
Inappropriate ownership transfer
If you have a second-hand two-wheeler you must follow the procedure of ownership transfer appropriately when you buy bike insurance online. You can either get the existing bike insurance transferred to your name or buy a new one.
Overloading issues
If you are filing for a claim for an accident but were riding with triple loading on the two-wheeler, the insurance company will reject your claim.
Incorrect registration
In case if you do not register your vehicle with RTO then they will deny your insurance claim.
Using bikes for commercial purposes
If you are using your bike for other purposes than those mentioned in your insurance policy then your claim might get rejected.
Fraud claims
In case the claim raised is a fraudulent claim then it will be immediately denied and the insured will also face legal charges for the same.
People often take insurance policies very lightly and overlook the documents papers without understanding the terms and conditions carefully. For the time being it looks fine but issues arise at the time of claims. Due to unawareness or other reasons many two-wheeler insurance claims get rejected after which people blame their insurance company without finding out the actual reason. Being aware of the claim can save you from a lot of heartburn later.
