How to claim insurance if your vehicle gets stolen

Vehicles are the most common asset owned by everyone in today’s times. It is one of the most essential means of transport – be it for the daily commute or long leisure road trips.

Even though only third party insurance is mandatory in India for a vehicle, experts always advise for a comprehensive cover, as it protects the vehicles from unforeseen emergencies like an accident or damage to the driver while on road.

Rakesh Goyal, Director, Probus Insurance, says, “Vehicle insurance is crucial and can provide immunity from a sudden mishap or damage occurred. Vehicle insurance is critical as it not only covers damages to the vehicle but also theft.” He further adds, “These insurance policies have another essential element of coverage that immunes a vehicle from theft. Vehicle theft is one of the most common crimes, especially in major cities; hence, it is all the more essential to have a vehicle insured.”

In an unfortunate situation, insureds can claim the compensation against the insurance coverage amount and it can have a slight sense of relief at least monetary wise. For instance, if your vehicle gets stolen, being insured, you would need to file a claim to receive adequate compensation against the event.

Here is the vehicle insurance claim process;

Filing an FIR

For the claim process, a person should file an FIR with the local police station and inform the insurance company. Police then gather all the necessary information about the vehicle like make, model, license plate number, etc. to conduct an investigation.

Let the insurance company know

Immediately notify the insurer after the event of theft and filing the FIR with the local police station. A copy of the FIR is shared with the insurer, which is the most essential document in the claim process.

RTO

After that, the RTO should be informed and the documentation work should be initiated.

As per the Motor Vehicle Act, the vehicle owner is compelled to inform the RTO (Regional Transport Office) at the earliest. Goyal says, “They help in some essential documentation and transfer papers that are needed to be submitted to the insurance company as supporting documents for the claim process.”

Documentation

Coordinate with the insurance company and get all the documents ready for submission. Documents that will be needed include a copy of insurance documents, original FIR copy, the claim form, driving license copy, RC book copy, and RTO transfer papers and relevant RTO forms.

Goyal says, “All the necessary documents along with the ‘no trace report’ provided by the local police station should be submitted to the insurance company for claim purposes.”

Approval timelines

The approximate timelines for approval could be anywhere between 60-90 days. The claim for vehicle theft could be rejected if the insured cannot produce all the sets of keys for the vehicle and/or the documents are missing or not as expected.

Goyal adds, “The insurance claim is likely to be rejected if there is a delay in initiating the claim process, documents mismatched, at least two sets of keys not presented or if the insurance company identifies a lack of adequate efforts taken to protect the vehicle.”

Source: Financial Express