Ever wondered why some car insurance claims end up in the rejection bin? Here at King Price, we’re all about transparency. So, we’re going to give you the lowdown on some of the main reasons why car insurance claims are sometimes rejected, and how you can steer clear of these speed bumps.
Policy exclusions
All insurance policies come with a set of exclusions (these are incidents that aren’t typically covered under your policy, btw). For example, your claim for damage to your car might be declined if your car was being used for something that isn’t covered like transporting fare-paying passengers or for emergency services. Moral of the story? Read through your policy documents and policy schedule to make sure you know exactly what you’re covered for.
Not being 200% honest
Being honest is your best bet when it comes to insurance. If, when taking out your cover, you failed to mention that your car has been modified, or that your 18-year-old son drives your car instead of you, you might find your claim getting the red light. Being honest and upfront with your insurer is key to a smooth claim process.
Unlicensed or drunk driving
Claims can be rejected if the driver doesn’t have the correct licence code or type, or if they were under the influence of alcohol at the time of the accident. At King Price, we encourage responsible and safe driving for the safety of all road users.
Late claim reporting
If you’re involved in an incident, it’s important to report it to your insurer as soon as possible. If you don’t, your insurer may not be able to validate your claim.
Lack of maintenance
Believe it or not, car maintenance plays a role in whether your claim will be approved or not. You see, you’re not covered for loss or damage that’s due to your car not being maintained properly, or being unroadworthy. Think about it: Regular maintenance really is a win-win… Through consistent maintenance, you increase your car’s lifespan and improve your chances of a successful claim.
Look, we get it… Navigating insurance can sometimes feel like driving through fog, but we’re here to clear the way. For a commitment-free quote, and more info on our car insurance, click here. We’re always happy to help. Safe driving, folks!
