- Claim settlement is the final stage of life insurance when your beneficiary gets the sum assured or you get the maturity amount
- To prevent claim rejection, you need to follow simple steps like linking your policy with Aadhaar, furnish correct details about your health condition, fill up the form accurately, etc.
- Ensure that the nominee details are updated to prevent complications during claim settlement
After her husband’s demise, 50-year-old Prity Sharma filed a claim of her husband’s life insurance policy, but she was in for a shock.She got to know from the insurer that the nominee details of the policy were not filled correctly and there could be issues in getting her claim approved. She had to fill several forms, and undergo a lot of hassles to establish the authenticity of her claim and get the sum assured.
Unfortunately, Prity’s is not the only case. Every year many people face complications in getting their claims accepted. Claim rejection devoid your dependents of the policy benefits.
Luckily, a few simple steps can ensure that your claims are never rejected:
1. Disclosure of Information About Your Health
Note that life insurance is a contract based on trust and transparency. Hence, it’s essential for you to furnish correct details about your lifestyle habits and health to your insurer. Concealing information regarding your health, no matter how small it might seem to be, can lead various complications and delay during claim settlement.
Always opt for a medical check-up to know the current state of your health. Wrong or non-disclosure of pre-existing conditions is one of the major reasons for insurers to deny claims.
2. Fill the Proposal Form Yourself
Don't simply sign on the dotted lines and leave the onus of filling the proposal form up to someone else. While it's convenient, it can lead to minor errors and omissions that could have an adverse effect during your claim settlement.
It's a good practice to fill the form yourself to avoid errors. Company representatives are always there to assist you. After all, you are the best person to know your personal and health details. Take your time while filling up the form and double-check before submitting it.
3. Update Policy Details
You need to update your policy details as and when required. For instance, if you have moved to a new address or have changed your contact number, it’s best to inform the insurer at the earliest.
Also, your nominee details should be updated in case you want to amend your initial preference. In case of a claim, if your nominee do not possess enough documentary evidence to prove himself/herself to be the beneficiary to the policy, the claim may be rejected or stalled.
Make sure you keep your policy documents safe and your dependents know about their whereabouts. Original policy documents need to be submitted during a claim and hence it’s important to keep them safe.