Why Your Bike Insurance Claim May Get Rejected

Today, raising bike insurance claims has become a piece of cake as it can be conveniently done online from anywhere. However, it needs to be done right, else there is a chance that your bike insurance claim may get rejected. 

One of the most common causes of rejection of a bike insurance claim includes filing a false claim or furnishing inaccurate details. Your claim will, also, get rejected if the damage was caused due to any illegal act on your part like rash driving, breaking traffic rules, being under the influence of intoxicants, or driving without a valid licence.Read the terms of your policy carefully to ensure timely approval and payout.

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10 Reasons why Bike Insurance Claim may get Rejected

Most vehicle owners purchase a comprehensive insurance plan to protect their two-wheeler from risks. Though you never wish a mishap to ever come your way, you might find yourself in a bind while raising an insurance claim. The process is simple, straightforward and can also be completed online.

However, many times, your bike insurance claim may get rejected due to several reasons. To make sure you never find yourself in such a situation, let’s explore some common reasons why insurance providers reject a bike insurance claim.

1. Offering Inaccurate Claim Details

When you file a claim for your bike insurance, you need to make sure that you provide accurate information about the occurrence. It is crucial to inform the insurance provider at the earliest and describe the accident without leaving out any facts.

If you provide wrong details or miss out on the specifics regarding the unforeseen mishap, it could lead to rejection of the insurance claim. Thus, it is recommended to take photographs of the damage incurred by your vehicle and talk to any witnesses in case of major accidents.


2. Making False Claims

Your bike insurance policy aims to provide you with financial protection in the event of an untoward incident. So, when it comes to your policy claims, insurance companies conduct thorough research and verify the claim details before processing them. However, in case they find out that you have raised a false claim, it would certainly get rejected and you could even face legal charges.


3. Partaking in Unlawful Acts

While filing your bike insurance claim, you need to ensure that no unlawful act was committed that resulted in the loss or damage. For example, the loss incurred while riding under the influence of alcohol or doing any stunts with your bike. Such insurance claims shall be denied by the insurance company as these are unlawful acts and aren’t covered under the plan. So, it is recommended to avoid drunk driving or participating in any illegal activity.


4. Filing Claims Under Exclusions

As a policyholder, reading the fine print and knowing the scope of your insurance coverage is a must. This saves you last-minute troubles and educates you regarding the terms and conditions of the plan. However, if you do not read your policy document thoroughly, you are bound to raise claims that fall under the exclusions.

In case you make an own damage claim under third-party insurance, your claim is going to be rejected. Similarly, any bike insurance claims that aren’t covered by the policy will be denied.


5. Riding Without Licence

Driving a motor vehicle without a licence is a legal offence and you can face hefty penalties for doing so. Thus, any damage or loss resulting from riding your bike without a licence will not be covered by the insurance provider. So, it is vital to have your driving licence with you to avoid legal liabilities and maintain your insurance coverage.


6. Raising Insurance Claims Under Lapsed Plan

Bike insurance renewal must be completed before the due date to continue with your coverage. In case you fail to renew the plan and your policy lapses, you shall lose coverage against unfortunate perils.

Moreover, any claims filed under your two-wheeler insurance policy will be rejected by the insurer as you no longer have an active policy. This stresses the importance of comprehensive insurance as accidents on the road cannot be predicted.


7. Delaying Your Claim

Raising insurance claims on time and intimating your insurer are two key elements that can impact your bike claim. Every insurance company has a deadline to initiate claims and it must be done within this period to get the right compensation. If you end up filing a claim a month after the accident had occurred, the insurance provider will surely refuse to cover the damage incurred.


8. Modifying the Bike Without Prior Notice

You might want to customise your prized possession to make the design sleeker. Though it might not seem obvious, your insurance provider should be informed while making any modifications. As certain changes to your vehicle can lead to an increase in the premium rate, your insurer must be kept in the loop before modifying your bike.


9. Failing to Transfer Ownership

If you are purchasing a second-hand two-wheeler, you need to transfer the ownership of the bike’s insurance plan to your name. In case you forget to do so, you cannot file any claims as the insurance policy is still under the previous owner’s name.

Due to this, you would have to pay for any damage incurred by your bike in the event of a mishap. So, make sure you get the policy transferred to your name before taking the two-wheeler out for a ride.


10. Using the Vehicle for Commercial Purposes

You cannot use a private bike for commercial purposes as there is a separate insurance policy available for such vehicles. Therefore, any loss resulting from using your bike as a commercial vehicle will not be covered by the insurer.


Documents Required While Making a Bike Insurance Claim

Here are some documents that you can submit while making a two-wheeler insurance claim:


  • Copy of FIR, in case of major accident claim

  • Copy of Registration Certificate of the bike

  • Copy of Driving Licence

  • Copy of the insurance policy

  • Original cash receipts for the repair of your bike

Over to you!

With a comprehensive bike insurance policy, you can rest assured when it comes to unforeseen mishaps on the road. Make sure that your insurance claim never gets rejected and you avail the rightful compensation for the loss incurred. In case you haven’t safeguarded your two-wheeler with insurance, head over to our bike insurance premium calculator to get an estimate!

Browse through the comprehensive two-wheeler insurance policies available at Finserv MARKETS now! You can always count on us and enjoy speedy claims, easy renewals and more.

FAQs on Reasons Why Your Bike Insurance Claim May Get Rejected

  • ✔️Can I get compensation for damage caused to my bike if it’s been a day since the policy expired?


    If your two-wheeler insurance plan has expired, the insurance company will not compensate for the loss incurred even if it’s only been a day since expiry.


  • ✔️How can I ensure my bike insurance claim never gets rejected?

    You can ensure successful claim settlement of your two-wheeler insurance policy with the following tips:

    • Intimate the insurer about the claim as soon as possible

    • Read the policy documents carefully

    • Avoid repairing your vehicle before it has been inspected by the insurer

    • Understand the terms and conditions of your policy

  • ✔️Is it compulsory to file an FIR for raising a bike insurance claim?

    The requirement of an FIR for insurance claims varies from one case to another. For third-party liabilities, theft claims and major accidents, an FIR report might be compulsory.

  • ✔️How can I avoid my bike insurance plan from lapsing?

    To avoid your insurance policy from lapsing, it is recommended to pay the premium before the due date. In case you forget the expiry date, you can renew your plan within the grace period.

  • ✔️Can I purchase bike insurance online at Finserv MARKETS?

    Yes. You can easily buy bike insurance online at Finserv MARKETS, so head over to our platform now!