Why Does Your Two Wheeler Insurance Claim Get Rejected?

12 Common Reasons for Rejection of Two-wheeler Insurance Claims

While raising a bike insurance claim, you must fulfil certain conditions and obligations so that your claim is not rejected. Some of the main reasons for two-wheeler insurance claim rejection are discussed in detail below:

1. Expired Bike Policy

   Usually a bike insurance policy is valid for a year. If your policy has expired, you will not be eligible for a claim as your insurer only covers your vehicle during the policy tenure. You must always make sure to renew your policy before the expiry date to avoid your bike claim rejection.

2. Incomplete or Inaccurate Information

   Your bike insurance policy document contains all the necessary information regarding you and your bike. You must ensure to provide accurate and genuine information while buying or renewing your 2 wheeler insurance. Apart from that, , you must provide all the necessary details about the accident when raising a claim.You must ensure not to miss anything to receive compensation for the losses or damages. You can also take some photographs or videos for your insurer to ensure a smooth claim settlement process. Failing to provide the correct information is also a common reason for a bike claim rejection.

3. No Coverage

   Your bike insurance claim will also be rejected if you are unaware of what your policy covers and what it does not. If you have just purchased a third-party bike insurance policy, you cannot claim for the damages caused to your own vehicle. Similarly, even a comprehensive bike insurance policy may not cover specific parts or damages without relevant add-ons. So, you must be fully aware about your policy coverage and its terms and conditions.

4. False Claims

   A bike insurance policy aims to assist the 2 wheeler owner in times of trouble, but some policyholders seek opportunities by raising false claims to make a profit. Your insurance company will immediately reject claims from individuals who are involved in fraudulent activities to gain more coverage than required. Your claims can also get rejected based on the inspection conducted by the surveyor if they think you are trying to misuse your policy. However, if you are caught in any fraudulent activity, not only will your claim be rejected, you will also be blacklisted or even have to face legal charges.

5. Committing Unlawful Actions

   Engaging in any illegal activity while riding your two-wheeler will definitely reject your insurance claim. If an accident occurs while you are driving under the influence of alcohol or drugs, or without a valid DL, RC, or insurance policy, your insurance provider will deny your claim. Similarly, reckless behavior, such as performing stunts or participating in illegal street races, constitutes a breach of policy terms and will result in claim rejection.

6. Unapproved Modifications in Bike

   Your bike insurance premium is decided based on the make, model, and age of your two wheeler. Adding accessories or modifying your bike can increase the premium. If you choose to modify your bike without informing your insurer about these modifications or accessories, your insurance claim will get rejected as you did not maintain any transparency and the modifications were not informed or considered while calculating bike insurance premium.

7. Using for Commercial Purposes

   When you are using your personal bike for commercial purposes, and it gets damaged in an accident, your insurance provider will reject the claim request at that very moment. There are separate policies available for commercial vehicles. Therefore, any private bike must not be used for any commercial purposes.

8. Delay in Raising Claim Request

   Each insurer has a specific deadline to file a claim. Delays in filing your claim can also result in rejection of your bike insurance claim. It is advised that you raise a claim request as early as possible after the mishap to avoid rejections and enjoy a hassle-free settlement process.

9. Transferring Bike Ownership

   If you have a second-hand two-wheeler, ensure transferring two-wheeler ownership along with the insurance policy is transferred from the last owner to your name as soon as possible. If you forget to do it, there will be no policy in your name. Ultimately, you cannot get any compensation for the losses.

10. Faulty Bike

    If your bike is not in good condition and faces issues like inflated tyres, faulty brakes, a leaking fuel tank, or an overheating engine, the insurer can reject your claim. After all, these small mistakes can lead to huge damages, and the claim settlement process becomes a little complicated. Therefore, make sure your bike is serviced regularly and is in good condition because insurance companies consider these faults while rejecting your two-wheeler insurance claim.

11. Illegal Riding

    Your insurer never compensates for the claims if your bike is damaged for illegal riding like- driving in a restricted area or footpath, racing or over speeding, etc. Therefore, never involve yourself in any illegal purposes when riding a bike.

12. Repairing Your Damages without Surveyor's Approval

    If you have opted for a cashless claim, you must only send your 2 wheeler to an authorised network garage after the surveyor has approved the same. Whereas, for the reimbursement settlement, you can only send your damaged bike for repairs after the surveyor approves the request. If you send your damaged bike for repairs before the surveyor's approval, both for cashless and reimbursement claim process, your bike insurance claims will be rejected.