Insurers allow you to intimate claims using their mobile applications
The monsoons have left a trail of destruction behind them in Mumbai, and parts of Maharashtra and Gujarat. Areas surrounding apartments and houses even in upmarket areas have been inundated and caused extensive damage to properties as well as vehicles and other assets. There have been several instances of cars being submerged in the floods or suffering heavy damage. Making insurance claims is an important way to get out of this mess.
Here are a few important steps to take while getting insurance claims settled.
Don’t attempt to start a submerged car
This may sound unintuitive, but it works in your favour. If your car is submerged in the water, do not try to start it. Instead try to click some pictures of the car. Even in case of a damaged portion of a house, you need to take photos.
“It is not mandatory to click pictures of the damage. But it is better to use technology to your advantage. Photos and videos give a prima facie evidence of the damage,” says Saroj Satpathy, executive director – insurance broking, Salasar Services. If you try to start your car, it may damage the engine of the car and the same is not covered in the insurance policy.
If your car is damaged on a flooded road and even before the insurers’ surveyors reach your car, the civic authorities move it away along with other vehicles, these photos can be shown as evidence of damage. However, even if the civic authorities move away your vehicles before you click pictures, it does not affect your chances of getting the claim passed.
Quickly inform the insurer
Floods lead to damage on a large scale and there will be a pile of claims. “Intimate the insurance company as soon as possible and then get the affected vehicle towed to service centre,” says Sanjay Datta – head of underwriting and claims, ICICI Lombard General Insurance Company.
You can intimate the insurance company in writing by filling the claim form prescribed by visiting its branch office or by calling the customer care numbers or by email. Some insurers also allow you to intimate claims using their mobile applications. Some apps not only provide for intimation of claim, but also allow you upload photographs. You can also send the photos on email too, though it is not mandatory. After intimating the insurance company, ask for claim docket number. Your insurance agent can also help you lodge a claim.
Most policies insist on intimation of loss within seven days of occurrence. “It is better to inform the insurer at the earliest and get the vehicle inspected in case of flood claims because the more the time you take to get the vehicle to service centre, the more the possibility of the water causing long-term damage to your vehicle,” points out Datta.
Policy documents on email
If you have misplaced the documents or have lost them in the flood, do not lose heart. Your email will typically have a copy of the insurance policy as most insurers send the policy on email, apart from mailing you a physical copy. If not, your agent can help you with the details. “If you have bought the insurance policy through an aggregator, there is a fair chance that you will get the policy details in a minute by calling up the aggregator. Your insurance company too can obtain the details of the policy if you intimate them your name, mobile number and other basic information,” says Tarun Mathur, chief business officer- general insurance, PolicyBazaar.com.
Major damages and losses covered
In case the floods wash away your important belongings and vehicle, do not lose heart. If you have a home and motor insurance policies, you can claim for losses.
It is better to go for comprehensive motor insurance products. Home structure insurance does not pay for articles in the house. You need to take a separate policy to cover for the loss of such belongings.
Only those articles which are listed under the list of insured contents under the house insurance policy are covered. In case the flood washes away the insured articles, then the policyholder need to establish the loss. The insurer will take a view in the light of the facts presented with the claim and at the time of survey. For example, if one claims loss of an article kept in an electronic locker due to flood, then the insurer will rely on the water level mark on the walls and the level at which the locker is placed. If the water level is much below the level of the locker, the loss cannot be ascertained.
The prolonged settlement process
Depending on the extent of loss you are reimbursed after following the due claim settlement process. “If you have a zero depreciation cover, the replacement cost is borne by the insurance company. However, in the absence of that you will have to pay your contribution wherever applicable,” says Mathur. For example a particular part may cost Rs 10000, which may need to be replaced. In case you have a zero depreciation cover, the insurer will pay the entire sum to the service centre. However in traditional covers, only the depreciated value will be paid, say Rs 8000, depending on the years of use. The policyholder will have to pay the remaining amount.
If the car is beyond repair, the vehicle is scrapped and the insurer declares ‘total loss’. “In case of total loss, the car owner is paid the insured declared value of the vehicle,” Mathur adds. The same applies to total loss of electronic goods such as computer, television sets and mobile phones and other insured articles.
“After a series of floods in our country, most insurance companies have clearly laid down the processes to follow and simplified claim settlement techniques when such claims arise on a large scale. This should significantly reduce the hassle faced by the affected insurance buyers,” says a senior executive with a reinsurance firm, who wish not to be quoted.
Take precautions
Here are a few tips offered by industry experts to make your claims process smoother. “Do purchase the zero depreciation and engine protection covers to ensure peace of mind,” says Mathur.
Datta agrees, “Add-on benefits can be bought at the time of policy renewal, if you have not bought them earlier.”
While buying a householder policy, as home insurance is popularly known, it makes sense to review the list of articles insured and their value you have declared. You should be updating them every time you renew the policy. If you own your house, you should be insuring both the structure and content of the house. If you are staying on rent, then you have the choice of insuring the contents of the house.
We have taken all measures to ensure that the information provided in this article and on our social media platform is credible, verified and sourced from other Big media Houses. For any feedback or complaint, reach out to us at businessleaguein@gmail.com
