Top 5 Reasons Given By Indian Insurance Companies for Claim Rejection

1. Top 5 Reasons Given By Indian Insurance Companies for Claim Rejection There are many reasons an insurance company could reject your claim, and this is something that we should always avoid because whenever we buy insurance for us or for our families our main objective is to use that money in case of unfortunate demise. Let’s discuss five most common reasons why insurance companies reject your claim.

2. 5 Possible Reasons for Life Insurance Claim Rejection: • The application has inaccurate or false information: People hide vital details while filling out the form or get it done casually by insurance agents. This may lead to filling incorrect details and or forget to fill some of the important details which leads to insurance claim rejection. The right weight, age, height, occupation and other details which needs to be properly filled. Most people hide drinking, and smoking along with pre-existing disease in order to avoid paying a higher premium, they also hide these details from the insurance companies while filling up the form for a new insurance policy. Sometimes this is unintentional and agents often fill out wrong information.

4. Not paying premiums in a timely manner: Some cases are being rejected in case premiums have not been paid by even the grace period and the policy has lapsed. Sometimes people do forget about paying the premium or change their mobile number due to which they do not get message reminders on their phones or don’t check mails. A grace period of 30 days is usually given by insurance companies. • Deaths not covered by the insurance policy: There is a list of exclusions for every life insurance policy. Suicide is not covered prior to the completion of a single policy period in many cases and sometimes accidental death resulting from consumption of alcohol, drugs or other narcotics. War or other risky activities are not covered at times or even in cases where someone passes away due to pre-existing ailments which have waiting periods.

5. No nominee appointed or updated: Most people buy life insurance early on and appoint their parents as nominees. But when they get married and have a family they forget to update their spouses or children as nominees and in some cases, people even forget to appoint nominees later on. • Death in the contestability duration: In case of death right after purchasing the policy, the company may have a reason for suspicion. There is a contestability period of 1-2 years in most cases. If death takes place in this period, the claim may be rejected and the company will investigate whether the customer provided proper details while applying along with the cause of death. • These are the most common reasons why your insurance company could reject your claim. • In case your rightful claim has been turned down or you have an insurance complaint then you can register your complaint with us Register Your Insurance Complaints Online in India - Insurance Samadhan

6. Thank You!