Car insurance is mandatory. This policy needs to be purchased by every car owner in India, as per the Motor Vehicles Act 1988. It safeguards you from any financial loss in unforeseen circumstances. The insurance company settles a claim against any financial expense that arises due to unpredictable situations. There are two ways an insurance company can settle claims:
- Reimbursement Claim Process and
- Cashless Claim Process.
This article discusses the Cashless Claim Process
A cashless claim is a type of claim where the garage or the hospital that comes under the network of the insurance provider settles the claim for you. This is easier to manage since the entire process is carried out by three parties – the insurance claim, the garage, and the hospital. All insurance providers have tie-ups with a network of garages and hospitals, to make the cashless claim process smoother. The following are the steps to avail a cashless claim in case of need:
- To raise a cashless claim in India, the first step is to contact your insurance provider immediately and inform them about the damage. This can be done by simply calling them or any other method specified by the insurance provider.
- The insurance provider will guide you to the authorized garage or hospital depending on the situation. At the affiliated garage/ hospital, you would have to submit the necessary car documents and state the reasons for the damage. The following are the important documents one should always carry in the car or possess digitally –
- Driving License
- Registration Certificate
- Car Insurance Policy and Claim form
- Identity Proof
- Once the car is sent to repair, the insurance company will send a surveyor who will inspect the situation. He/She will get a sense of the situation, take photographs of the site, and then share them with the insurance provider.
- Once your claim is approved or rejected, the provider will let you know the amount they’ll cover for the damage. Post which the garage will initiate the repair of the car.
- The car will be repaired and the payment will be settled by the insurance company to the garage. The balance amount will be paid by you which will be marginal compared to the overall cost.
A cashless car insurance claim works on the foundations of trust and coordination among all the parties involved. It also depends on the tie-ups that the insurance provider has with the garages/hospitals that will work as per the convenience of the policyholder and make the process seamless.
One has to remember that your claim can also get rejected in some cases
● Important car documents are not present at the time
● The driver is under the influence of alcohol or drugs
● The driver fails to inform the insurance provider immediately as for cashless claims to be sanctioned immediate action is required.
● Any traffic rules have been broken
A cashless car insurance claim is a much more convenient option when compared to a reimbursement claim where you’ll have to wait for the claim amount to be transferred to your bank account.
It’s always wise to prepare for any unexpected circumstances and thus it is also smart to research which policy and claim process would best suit you! Check out Chola MS’s car insurance onlinepolicy that protects you and your loved ones seamlessly.
