Claims settlement is the other core function, post underwriting of the insurance companies. In an insurance contract premium is the consideration paid by the insured to get the insurance coverage. At the same time, the consideration on the part of the insurance company is the promise to pay the covered claim as per the terms of the policy. Claim settlement is the fulfillment of the promise made to the insured.
Practically the insurance company is only providing a document when the agreement finalizes. The actual cost of documentation may be between $10 to $ 100. But the promise of coverage may run into millions. The customer can gauge the insurance company’s service only at the time of the claim’s settlement. Motor insurance is one of the attrition classes of business. Hence the frequency of claims under motor insurance is high. However, the severity of claims is considerably low.
In case of a car accident, the insured has to comply with specific requirements, as well as the insurance company. Get at Young America Insurance Company the claim service you need.
Insured duties
- First and foremost, in case of an accident, the insured should report to the police and other relevant authorities and comply with their requirements.
- The insured should not leave the vehicle unlocked or unattended since any theft of parts or accessories thereafter will not be covered by the policy.
- The insured should avoid any kind of repairs on the vehicle without the knowledge of the insurance company.
- Also, the insured should not take any action that may cause further damage to the vehicle. If the oil has been thoroughly leaked in an accident, then driving the car without oil will damage the engine. Hence, in this case, driving should be avoided.
- If any third party is involved in the accident, the insured should not admit liability under any circumstances, even if the insured is at fault.
The insured should also obtain the following details of the third party:
- The owner’s name, address, and telephone number.
- If the vehicle is being driven, then the driver’s name and his address.
- The name of the owner’s insurance company, if any.
- The policy number
- The make, model, and registration number of the vehicle.
- The name and address of witnesses, if any.
The insured also should record the date, time, and location of the accident.
If the claim exceeds the limit or the insured wants to file a claim with the insurance company, he must notify the insurance company, the broker, or his office – if the client is a corporate customer. The insured needs to inform the insurance company as soon as possible. Some insurance companies will set a time limit for the notification of claims after the accident. A delay in the notification will give scope for fraud and even denial of the claim.
Miscellaneous claims
Other than the well known third-party and own damage claims are coming under the miscellaneous claims. The most common miscellaneous claims are as follows:
- Personal accident claim
- Emergency medical expenses claim
- Workmen compensation or legal liability claim
Personal accident claim
The coverage provided by the auto insurance policy is usually restricted coverage. It includes coverage concerning death, loss of limbs, and loss of an eye. It also provides coverage with respect to permanent total disablement. There are also few coverages available on the market, which will provide coverage for weekly benefit under temporary total disablement. These claims are lodged separately and have a separate claim form. The requirements for these types of claims are different, like a medical report, a police report, and a third-opinion doctor’s report.
Emergency medical expenses claim
The intent is to provide a minimal amount of coverage to each passenger and the car driver. It usually covers a limit of between $100 to $500. Coverage is provided only when the damage is caused to the vehicle covered under the policy and due to the direct and immediate result of an accident.
Workmen compensation claim
The standard policies are usually extended to cover the claims arising under workmen’s compensation regulations. It usually covers the drivers, cleaners, and other insured employees who travel in the vehicle as part of duty or employment. Most of the persons are employed by the insured in operation and maintenance of the motor vehicle.
When searching for car insurance, you should keep in mind not only look for affordable cheap car insurance with no deposit plans, but also to obtain a policy from an insurance company that will not abandon you when you need to make a claim. Citizens Insurance could be the provider you are looking for. Compare multiple quotes so you don’t make the mistake of buying the policy from the first provider you find on the Internet.
