Timely communication necessary for hassle-free claim settlement

Chennai: Everyone needs a hassle-free insurance claim settlement. Clear and timely communication between the insurer and the insured goes a long way in achieving this.

If the communication is clear from the beginning itself, one can avoid several confusions in the future and the claim settlement will be smooth and quick.

Even before buying the policy, one has to be clear about what they want and what they can expect. They should go through the benefit illustration sheet to know what benefit one can expect for his age and profile. In case of unit-linked policies he should not be carried away by the current market prospects, but look for realistic returns. While choosing the insurance provider, it is important to go through the track record of the company in terms of claim settlement.

Miscommunication largely happens when one fails to carefully go through the copy of proposal form and fill it up on his own. The profile details should be accurate as each profile is a different risk for the insurance company and inaccurate or incomplete details can lead to rejection of claim in future.

Even after buying the policy, the customer should carefully read the policy document and get corrections carried out, if necessary. He also has to see whether the benefits guaranteed by the agent are there in the policy document in black and white. Further, if a change in details like address occurs, the insurer should be duly informed.

The policy holder cannot be fully complacent if the premium is directly deducted through electronic clearance service. Non-payment of an increased tax portion will be considered as a default and lead to policy lapse.

In case the nominee of a life policy happens to die even before the insured, the company has to be informed. At the time of the death of the insured, if the nominee is not alive, one who stakes claim for the money will have to get an affidavit from the court as the legal heir. If it is a small ticket policy, some insurers ask for a no-objection certificate from the relatives and a personal affidavit from the claimant saying that he will pay the amount if someone else claims to be the legal heir later.

The insured has to keep the nominee informed about the policy. This will help him make the claim on time and produce the relevant documents.

While claiming for the policy amount, the nominee will have to submit certain documents, including ID proof. Claim intimation form has to be submitted. Death certificate of the insured from the local body and medical certificate from a doctor pronouncing death of the person is needed to start processing of the claim. Even if the person dies at home, a doctor has to pronounce him dead.