The Importance of Accurate Documentation in Speeding Up Your Insurance Claim

When there is an emergency like a car accident, a death, or a robbery that results in a significant loss, one of the first things we often turn to is our insurance policy.

That’s what a policy is for, right?

But imagine having a car accident, only to have your insurance claim rejected due to missing documents. How would you feel? This blog covers exactly the same, why maintaining accurate documentation is crucial, and how it can speed up your claim process.

Continue reading to learn more.

Why the Right Documents in Insurance Claim is important 

• It accelerates the process: Having proper documentation readily available significantly accelerates the insurance claim process. When you submit a claim with all the necessary documents, such as receipts, photographs, and reports, the insurer can quickly assess the validity of your claim. This eliminates unnecessary back-and-forth communication and reduces the time spent on investigations, allowing for a faster resolution. 

In a recent case of Suresh Kumar v. New India Assurance Co. And Ors (Punjab & Haryana High Court, November 20, 2014), the claimant filed a petition for compensation following a tragic incident where a light motor vehicle, driven negligently by the respondent Ram, overturned, resulting in injuries to the occupants, including the death of Labho Devi. The Motor Accident Claims Tribunal awarded ₹5,50,000 to Labho Devi's legal representatives along with interest, holding the driver and vehicle owner liable while exonerating the insurer.

The case highlights the critical importance of proper documentation in insurance claims. Although the vehicle was insured at the time of the accident, the appeal raised questions about the insurer's liability under Section 147 of the Motor Vehicles Act, 1988. The appellant's failure to provide adequate documentation to prove the legitimacy of the passengers’ presence in the vehicle ultimately undermined their claim.

This case highlights how maintaining accurate records, such as insurance policies, registration certificates, and evidence of compliance with insurance terms, is essential in expediting claims and protecting the rights of the claimant. As a result, the court upheld the Tribunal's findings, and the appeal was dismissed with costs.

• Approval is easy: With complete and accurate documentation, the approval of your insurance claim becomes much easier. Insurers rely on the information provided to determine the legitimacy of a claim. When you submit all documentation that meets all policy requirements, it not only simplifies the review process but also increases the likelihood of receiving timely approval. 

• Stronger case in case of disputes: In the event of disputes regarding your claim, having thorough documentation provides a stronger case. Well-maintained records can serve as evidence to support your claim, making it easier to present your side of the story. If your claim is denied or you face challenges, having all the necessarydocuments on hand can help you appeal the decision. If you’re facing insurance claim-related issues or dealing with a delayed claim process, you might consider seeking expert assistance. Organizations like Bima Seva Kendra specialize in claim rejection services and can guide you through the complexities of the documentation process.

• Simplify the whole process: Proper documentation simplifies the entire claims process. By organizing and preparing all required documents in advance, you can avoid confusion and stress during what can already be a challenging time.

• Easy for quick remedy and fast-track case: When all documentation is in order, it facilitates quick remedies and resolutions for fast cases. In situations where immediate action is required, such as in medical emergencies or urgent repairs, having proper documentation ensures that claims can be processed quickly. This not only relieves stress but also helps you get the financial assistance you need without unnecessary delays.Keeping accurate records is crucial for speeding up the process of filing your insurance claim.

Remember to keep all relevant documents ready beforehand like documents related to your possessions, invoices, and receipts, and report any issues promptly. Additionally, effective communication is vital, along with regularly reviewing and updating your documentation. If you wish to complain about an insurance company, it's advisable to consult an expert and move ahead.