The bureaucracy of insurance companies, coupled with the threat of insurance fraud while bearing the loss of a loved one, makes the process of making an insurance claim a painstaking experience. The Insurance Regulatory and Development Authority (IRDA) provides guidelines for settling insurance claims. These guidelines provide that, insurance companies are obligated to settle claims within 30 days of receipt of all claimant documents. Insurance companies, on the other hand, employ claim investigators and legal advisors who scrutinize claim applications thoroughly. A feedback of possible fraud or malpractice would result in either an extension or a denial of the claim settlement. Whenever claimants choose to take legal action and prove their case, the matters take up to six months to settle. However, there are thousands of cases that have dragged for years in the courts. Below are some tips to make a successful insurance claim.
When applying for an insurance policy cover, it is important to make all disclosures honestly. Hiding some ‘unpleasant’ habits such as smoking or pre-existing diseases will only complicate the claim process as it will be discovered then and the insurance company may decline to pay a claim on the basis of non-disclosure of material information.
In the event of a health cover, it is vital to alert the insurance company by sending a claim within the shortest time possible. Insurance companies take delays as reasons to arouse suspicion and elicit deeper investigation
All the relevant information on the claim application including the name of the policyholder, date, location, and reason of death, and any other appropriate information required by the insurance company, omission or inconsistencies can cause jitters in the insurance company when processing your claim.