Your simple guide to third-party insurance claims

Being aware and diligent about the steps will allow you to avoid rejections and obtain rightful claim benefits

By Ammar Tarique

  • Follow us on
  • google-news
  • whatsapp
  • telegram

Top Stories

Published: Thu 18 Jan 2024, 6:48 PM

Securing third-party liability coverage is an important responsibility when owning a car. This would protect others on the road if the vehicle owner were to cause an accident resulting in injuries or property damage.

While the legal minimum may seem sufficient when purchasing car insurance online, major third-party claims can often exceed those limits. Many drivers do not realise this until they or someone they know undergo the process.

It is wise for vehicle owners to understand how these claims work and what options are available to enhance protection. Being prepared can greatly reduce stress when the unfortunate does occur.

This article shares insights into making and resolving third party insurance claims to promote realistic expectations and peace of mind. The goal is to present the key considerations in an easy-to-grasp way, making the process less intimidating.

When to file a third-party claim

  • You should file a third-party claim as soon as possible after the incident occurs.
  • You receive a legal notice from the third party to claim compensation.
  • You are found legally liable by the court to compensate the third party.
  • In such cases, intimate your insurer immediately. Delays can affect claim processing.

Documents Required

Keep these documents ready before initiating the car insurance policy claim:

  • Copy of insurance policy
  • Copy of Motor Vehicle Registration Certificate
  • Driving license copy
  • First Information Report from police records
  • Estimate of repair costs for vehicle/property damage
  • Medicine bills/records and hospitalisation documents related to treatment costs
  • Disability certificate from hospital in case of permanent disability to third party
  • Witness statements and contact details, if available
  • Death certificate in case third party sustained fatal injuries

Note: Documents may vary according to the company policy

Steps for Intimating Claim

Follow these steps to initiate the claims process:

Inform Insurer Immediately

Intimate your insurer about the accident or third-party legal notice within 24 hours. Provide necessary details and documentation.

Conduct Accident Scene Inspection

The surveyor inspects the accident spot and clicks on-site images detailing damages if required. This provides evidence for claim processing.

Get Legal Opinion if Required

If the liability for the third party claim is unclear, take legal consultation before admitting guilt. This can impact claim acceptance.

Follow Up on Claim Investigation

Cooperate with the insurer during claims investigation by providing documents/details sought periodically. Participate in security discussions whenever called.

Can I Negotiate the Claim Settlement Offer?

Yes, you have every right to negotiate the initial claim settlement offer from the at-fault party's insurer. Here are some tips:

  • Review the offer carefully against your documented losses and damages — does it cover the full amount? Identify any gaps.
  • Counter with a reasonable demand based on evidence like repair bills, medical assessments and comparable injury claim settlements.
  • Be prepared to justify your counteroffer with additional documentation and market comparisons.
  • Legal mediation or small claims court may be last resort options if negotiations reach an impasse.

Tips for Smooth Claim Processing

Follow these tips for faster processing and approval of your third-party insurance claim:

  • Provide accurate, consistent information about accident details, damages, and injuries in all documents. Discrepancies can delay claim acceptance.
  • Keep copies of all documents submitted. Follow up periodically on claim status.
  • Extend full cooperation to the insurance provider, legal authorities, and surveyor for inspection and fact-finding investigations related to the claim.
  • Maintain detailed records of expenses incurred, such as medical treatments, hospital bills, emergency ambulance costs, etc., in case of personal injury claims.
  • Attempt mutual settlement by negotiating compensation directly with a third party before opting for lengthy litigations.

Conclusion

We hope this guide gave you a clear understanding of the complete process and requirements for the smooth settlement of third-party claims under your motor insurance policy. Being aware and diligent about the steps will allow you to avoid rejections and obtain rightful claim benefits.

In case of claim difficulty, despite your best efforts, it is best to seek legal solutions instead of forfeiting your valid claim.

— Ammar Tarique is an SEO strategist at Teamology Softech and Media Services.


More news from KT Network