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Claims Assistance

Being involved in a car accident is no joyride. We understand the stress and frustration that you are going through. That's exactly why we at Bluebox work hard to get your car back on the road instantly. With our car insurance experts on your side, your claim procedure becomes as effortless as possible.


Types of Claim Settlement Processes

There are two types of claim settlement processes, namely,

  1. Cashless Repairs
  2. Reimbursement process
  1. Cashless Repairs:
    If you take your vehicle to a garage which has a tie-up with your insurance company, you have the facility to avail cashless repairs. In other words, the repair costs will be directly settled by the insurance company barring the minor deductible costs. As a network garage, the insurer can be convinced about the quality of the parts used and the repair work goes hand-in-hand with the claim process. This expedites the overall process.
  2. Reimbursement Process:
    In case you wish to take your car to a workshop of your choice, then you can take the reimbursement route. This process is similar to the cashless repairs, apart from the fact that the car owner settles the garage bill first and applies for a reimbursement from the insurance company later.
  • Own Damage Claim Process
    1. Immediately intimate the Insurance Company: It is imperative that you kick-start your claim process by keeping the Insurance company in the loop right from the beginning. You can ask them all your queries about the claim process. The sooner you inform your insurance company, the better they can assist you with the process. They will recommend the nearest network garages and arrange for towing services if your car is not in a condition to be driven.
    2. Gather evidence about the incident: Use your phone to click pictures of the dents, scratches, and injuries as evidence of the collision. Note down contact numbers and addresses of the witnesses.
    3. File an FIR in case of a major accident and/or bodily injury: An FIR is a mandatory document for third-party liability claims and claims related to bodily injury.
    4. Take your vehicle to the nearest garage: If the damages are minor, take your car to the nearest garage yourself. If the car is not in a condition to be driven, then get it towed to the garage.
    5. Submit your documents and vehicle at the garage: Once you have reached the garage, let them make the initial assessment of the damages to prepare an initial estimate of the repairs. Inform them about your car insurance policy and submit your claim related documents such as RC copy, driving license, policy copy, claim form and any other documents as required by the insurance company.
    6. Insurance Surveyor reaches in 24-48 hours: A representative from the insurance company will arrive at the garage to inspect the damages and verify and approve the estimate cost of the repairs. The Insurance surveyor may cross-check the documents submitted with the originals.
    7. Approval of the estimate costs: The repair work won’t begin till you approve and agree to the estimate costs.
    8. Approval of the actual cost of the repairs: Once the repair work is completed, it is quite possible that the actual costs are above or below the estimates. The garage will be broken down into the costs payable by the insurance company and the nominal costs that are payable by the car owner. Therefore, your approval will be needed to finalize the bills.
    9. Claim Settlement: Once the approval is provided, in the cashless process the insurance company will settle their share of the bill directly with the garage. In the Reimbursement process, you will have to settle the garage bill yourself and the claim amount will be reimbursed later.
  • Car Theft Claim process

    In case luck has not been on your side and you had to endure the misery of a stolen car, then the following information is crucial for you.

    Claim process for car theft:

    1. Inform the Cops for an FIR: The first thing you should do after realizing that your vehicle has been stolen is to lodge an FIR. Without an FIR you can’t make a car claim.
    2. Submit claim documents: Submit all the claim-related documents such as an FIR copy, Policy copy, Vehicle registration copy, Police Certificate of no-trace report, RTO transfer papers etc
    3. Claim settlement: After a brief verification of all your documents your claim is settled
  • Third-Party Liability claim process

    If your car accidentally crashes into a person, their vehicle, or their property then they can claim for compensation from your Car insurance policy. In this scenario, the following process needs to be followed:

    1. File an FIR: To register a Third-party claim you or the other party needs to file an FIR from the police station near the accident spot. It is also crucial that you keep a copy of the FIR for your own reference.
    2. Provide your Policy copy to the other party: Share your policy copy with the third-party to facilitate the claim to be registered on your policy.
    3. Claim Registered in Motor Tribunal: As per the Motor Vehicle Act of 1988, all third-party liability cases have to be registered at MOTOR ACCIDENT CLAIMS TRIBUNAL (MACT). The third-party needs to register the case either near the accident spot or near his place of residence.
Standard Deductions in a Car Insurance claim

Against popular belief, the entire garage bill is not borne by the Insurance Company. There is something called as a ‘deductible’ or ‘excess’ which is the amount the vehicle owner needs to pay from his own pocket whenever there is a motor insurance claim. The deductible has two types, compulsory deductible and voluntary deductible. In addition to the deductible, there are a few more deductions that are made to the final settlement. The following is the list for the same:

  • Compulsory Deductible:

    It is the specific amount pre-decided by the Insurance Company which the policyholder has to pay regardless of the claim amount. A high compulsory deductible forces the owner to be more cautious, as in the event of a claim, he will have to pay from his own pocket.

  • Voluntary Deductible:

    If the policyholder wishes to receive a discount on the policy premium, he can opt to pay an amount over and above the compulsory deductible. The policyholder is basically rewarded with a discount for sharing the cost of the repairs. For instance, if you choose to pay a voluntary deductible of 4000 Rs, you may receive a discount of 20%-30% on your policy premium. However, please note that you need to pay the voluntary deductible in addition to the compulsory deductible.

  • Depreciation:

    The cost of depreciation of the vehicle is considered at the time of the claim. This means, you are re-imbursed taking into account the depreciated cost of the vehicle parts and not the cost of new parts. Please note that a nil-depreciation cover can take care of this problem.

  • Consumables:

    The expenses related to the consumables of the car such as the engine oil, fuel, coolant etc are not covered by your policy. Hence, you will have to pay for them from your own pocket, unless you have opted for a consumables cover.

Major Exclusions in a Motor Insurance policy

Before filing a motor insurance claim it is crucial that you are aware of the exclusions in the policy. This ensures that there is total transparency and there are no surprises during the claim process. Hence, let’s go through the exclusions of the policy:

  • Normal depreciation of the vehicle through gradual wear and tear
  • When the vehicle is used for any commercial activities
  • When any manufacturer guideline is not followed
  • Breach of any traffic laws such as not carrying your license, or driving under the influence of alcohol or any other intoxicant
  • Damage or loss of the vehicle after the policy expires
  • Damage to the Engine because of oil leakages

Claim process can be a daunting experience and people often get anxious during it. This may happen because of the lack of awareness about it and insurance jargons that people fail to understand. Hence, we are providing you a cheat-sheet to ensure you always stay on top of the situation and do only what is expected out of you. To help you out the following are the DO’s and Don’ts of the car insurance claim process

  • What to do during a Car Insurance Claim
    • Do analyze your car insurance policy in detail to understand the coverage and exclusions
    • Do intimate your insurer as soon as the incident occurs
    • Do click photographs of the accident site and keep contact details of the witnesses
    • Do keep claim related documents like Insurance Policy, Original Driving License, Original RC handy at the time of surveyor visit
    • Do keep a record of all the bills and related documentation
    • Do file an FIR in case of a third-party claim, theft claim or a major accident
    • Do raise concern with Insurer or Broker if you feel the claim settlement is not to your satisfaction
  • What not to do during a Car Insurance Claim
    • Don’t delay intimating your insurance company as all policies have a deadline for intimation
    • Don’t initiate repairs before the surveyor visit or receipt of official approval from the insurer
    • Don’t settle the bill without surveyor’s final approval
    • Don’t delay in submitting original claims documents as they are mandatory during the claim survey
    • Don’t conclude that the estimate created by the insurance company is non-negotiable & don’t agree to a ‘final settlement’ if it is not to your satisfaction
    • Don’t forget filing an FIR during a theft or third-party claim
    • Don’t break any manufacturer guideline, drive without a license or under the influence of alcohol as this may prejudice the claim
Myths related to Car Insurance Claims

What seems to be common knowledge can easily be just a myth. For example, most people believe that ‘Insurance companies don’t want to settle claims’. However, the fact of matter is that if the insurance company doesn’t intend to keep their promises, they won’t stay in business for long. Every claim is bound by policy conditions that have to be followed whether they favor a particular party or not.

Therefore, let’s clear few more myths to set your expectation about claim settlement process

  1. If you file a claim, you receive an amount equivalent to the price of a new car: The principle of indemnity governs insurance. Which means the policy takes you back to the same condition as before the damage occurred. A new car is obviously a better position. Hence, if a claim is of Total Damage or Theft, insurer will restrict the settlement to the agreed IDV.
  2. A comprehensive motor insurance will cover the entire repair bill: Even a comprehensive motor insurance policy may not cover the entire garage bill. A pre-fixed amount called the compulsory deductible needs to be borne by the policyholder. In addition, certain parts of the vehicle are vulnerable to depreciation and wear out. The net settlement is done after deducting depreciation, consumables, excess and repair cost for pre-existing damages, unless specific add-on cover is opted.
  3. Making a car insurance claim is a cumbersome process: Absolutely not. The Insurance companies are quite technologically evolved and all you might have to do these days is inform them about the claim incident through phone, email, or app. Within 24 hours you will be contacted by a representative to guide you through the documentation process. You can even track your claim online.
  4. You have to agree with the insurance company’s assessment: If you don’t agree with the surveyor’s assessment and are unhappy with the settlement amount, then you can report a complaint to the grievance cell of the insurance company. Every insurer has a pre-defined and established grievance process that can be utilized if you are not satisfied with the claim amount.
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When to shy away from a Motor Insurance Claim?

  1. There are negligible dents and scratches on your car: When the damage to your vehicle is minor it is not suggested to make an insurance claim because you will lose out of your No-claim bonus(NCB) of a much higher amount. This means you will have to pay a higher premium next year. Throwing away your hard-earned NCB over small repairs doesn’t make sense. Does it?

  2. The repair cost is too low: Every claim has a compulsory and fixed deductible amount which has to be borne by the vehicle owner. A small claim would mean a major chunk of the repairs would need to be paid by you. Hence, going through the entire claim process for a miniscule amount becomes cumbersome.

CLAIM FORMS

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