Insurance Claim Rejection Reasons After Accident
Introduction: Pain after an accident isn't just about the car.
The first thing to think about after an accident is:
"There is insurance, everything will be covered. "
But when the claim is filed and the reply comes:
"Your claim has been rejected due to policy violation. "
Then it is understood that the claim rejection is more painful than the accident.
Millions of motor insurance claims are rejected every year in India, and in most cases, the problem is not that the accident was fake.The problem is a small mistake, which you made unknowingly.
In the article, I will talk to you directly, practically and in the real world -
No insurance agent language, no confusing clauses.
It's only this:
- Why the claim was rejected
- What's the most common mistake
- And how you can protect your legal and financial losses.
Let's first understand: What does it mean to have an insurance claim rejected?
An insurance claim being rejected means that the company is robbing you.In most of the cases:
Policy conditions are violated, documentation is incomplete, wrong decision has been taken after accident
Insurance is a legal contract... Runs not on emotions, but on documents and rules.
Reason #1. Not filing an FIR after an accident (most common mistake)
A lot of people think:
"What is the need for an FIR? "
Reality (India)
- FIR is mandatory in case of injury / damage to third party.
- In a major accident, without an FIR, the claim becomes legally weak
- Cash settlement ≠ Valid proof
Insurance companies consider only FIR + police records as official evidence.Actual examples:
Your car has been rear-ended.
You didn't call the police.
The next day, another person files an FIR - and your claim is rejected.
Reason #2. Leaving the scene after the accident (hit and run angle)
Running away or leaving the spot after an accident:
- IPC sections invoked
- Negative intent is considered in court.
The insurance company believes you're running away from the rules
Whether it's your fault or not. Escape = to claim the risk.
Reason #3. Drunk driving or alcohol trace (zero tolerance)
The most stringent section of motor insurance in India:
Driving under the influence = Claim rejected
- Even minor alcohol traces came up in the medical report
- Breath Analyzer Positive
- mentioned in the FIR.
Reject the claim directly.No discussion.
Whether:
- The accident was minor
- The damage is only to your car.
Alcohol for the insurance company = breaking the contract.
Reason #4. Delay in notifying the insurance company
The policy is almost always written:
"The claim should be reported within 24-48 hours. "
What do logs do?
- Repair the car
- File a complaint later
The result:
- Surveyor says damage verification not possible
- A partial or complete denial of the claim
Remember the rules:
Accident → First Call Insurance → Then Repair
Reason #5. Driving without a valid license
This doesn't just happen when:
- The license is not at all
Balki jab:
- The license has expired
- Incorrect category of license (bike license equivalent to car)
- Can't follow the rules of learner's license
Insurance can be legally denied in all cases.
Reason #6. A vehicle used for the wrong purpose
The policy clearly states:
- Private vehicles
- Commercial Vehicle
Agar:
- Taxi service by private car
- Delivery work
- Commercial use
If abuse was proven at the time of the accident → Claim rejected
Reason #7.Hiding a false statement or information
A lot of people think:
"If you tell the truth, the claim will be rejected, let's adjust a little. "
The insurance company:
- CCTV
- Call Record
- Police report
- Surveyor Inspection
Everyone cross-checks.
If a single mismatch is caught → suspicion of fraud → risk of lifetime blacklisting.
Reason #8. Modification of vehicle without approval
A common example:
- Aftermarket CNG / LPG
- Modified exit
- Structural changes
- Large tires
If the amendment:
- Not supported in RC.
- The insurance company was not notified.
Claims can be rejected after an accident, especially in cases of fire / explosion.
Reason #9. The policy has been terminated or terminated
What's surprising is that quite a lot of logs:
- Don't check expiry date
- Let 's say "will be renewed"
On the day of the accident:
The policy expired on this day (even from 1 day)
Zero coverage. a zero claim.
Reason #10. Repair without surveyor
The golden rule of insurance:
"No survey = no claim. "
If you're:
- Leave the car in the workshop.
- Replace parts
Surveyors are't given the opportunity to inspect
The claim was rejected partially and after then completely.
Psychological and financial impacts: What happens after a claim is denied?
After the claim is rejected:
- Repair bill = yours
- Third-party compensation = your
- Legal notice = yours.
The Stress of Family
Logs are underestimated, equal financial trauma + legal pressure has a long-term impact.
What You Need to Do to Protect a Claim After an Accident
。。 After the accident:
- stop
- Control the panic
- Help the injured
Documentation:
- Photos / Videos
- Number plate
- place
The legal:
- Inform Police
- FIR (if required)
Insurance:
- call on the same day
- Note down the number
- Waiting for survey
Expert advice (from the ground reality)
"Insurance does not cover accident, insurance covers your behaviour. "
Galat behaviour = Rejected claim
Correct procedure = Smooth disposal
The final truth: Rejecting a claim is not bad luck, it is a process failure.
Anger is not in your control.
But:
Your answer
your documentation.
It's your discipline
It is 100% under your control.
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