Best Ways to Check Car Insurance Claim Settlement Ratios in India

What is an Insurance Claim?

You can view an insurance claim as a formal request that policyholders submit to their insurer to seek coverage or reimbursement for a loss resulting from a road accident/collision or any other incident covered under the insurance policy.

Once the car insurance claim is filed, the insurance company will review its legitimacy. It will be verified against the policy coverage so a decision can be made on whether the repair or compensation amount should be approved in line with the policy terms.
 

What is a Claim Settlement Ratio?

A claim settlement ratio indicates the claims approved relative to the total number of claims received by the insurer. It’s usually calculated over a specific period and expressed as a percentage. For example, if an insurer receives approximately 10,000 claims in a financial year and approves 9,800, it has a 98% (9,800/10,000*100) claim settlement ratio.
 

What is the Status of Claim Settlement Ratio in India

The landscape of claim settlement ratios in India is incredibly competitive as of 2026. If you explore the insurance ratio online for F.Y:2024-2025, you’ll notice that most top insurers have an average insurance claim approval rate of 90% and higher.

Some leading insurers have crossed the 95% mark, with the highest car insurance claim ratio reaching 100% for a few insurers. These ratios indicate that Indian insurers are competing hard to win customers’ trust and approval.

The rapid digitisation of claims processing, faster verification systems, and growing pressure on insurers to improve the customer experience are all shaping the current status of the claim settlement ratio in India.
 

How is Claim Settlement Ratio Calculated?

Calculating the claim settlement ratio in India is easy. You have to divide the total number of approved claims by the total number of claims received during a particular period, and then multiply it by 100. Here’s how the formula looks –

Claim Settlement Ratio = Total Approved Claims/ Total Claims Received * 100

It means that if an insurer has received 10,000 claims during a financial year, approved only 9,500, and rejected the rest, then the claim settlement ratio is 95%.
 

Types of Car Insurance Claim Settlements

Car insurance claims are generally settled through two primary methods, depending on the situation and policy terms.

Cashless Claim Settlement

In a cashless claim settlement, the damaged car is repaired at an insurer-approved network garage. Here, the policyholder only has to pay his share of expenses, such as deductibles. The remaining repair cost is directly paid by the insurer to the garage partner.

However, if your insurance policy doesn’t have depreciation coverage, then you’ll also have to pay for depreciation charges from your own pocket. It’s the most common and preferred claim settlement method as it reduces immediate financial burden on the policyholder.

Reimbursement Claim Settlement

In the reimbursement claim settlement method, the policyholder first pays the entire repair bill to a garage and later raises a claim request. As a policyholder, you’ll have to submit the repair invoice and supporting documents to the insurer for reimbursement. Settlements are cleared using this method when the repair was done at a non-network garage.
 

Documents Required for Claim Settlement

When submitting a claim request, you’ll have to upload multiple documents for verification. Although the precise list of documents will vary depending on the claim type and insurer, you’ll typically have to provide the following documents –

• Duly filed claim form
• Copy of car insurance policy
• Vehicle RC
• Valid driving license
• FIR copy (compulsory in case of theft, major accidents, and third-party claims)
• Repair bills and payment receipts
• Garage estimates and invoices
• Aadhaar card and other ID proof
• Cancelled check or bank account details for reimbursement
• Photos of the damaged vehicle
• Pollution Under Control (PUC) certificate (if required)

If your car has been stolen or total loss has occurred due to natural calamities or any other reason, then insurers may also request –

• Non-traceable police report
• Vehicle transfer papers
• Loan-related documents (if the vehicle was financed)
• Original car keys

While the list is exhaustive, some insurers may ask for additional documents. Hence, check the full list of documents required by your particular insurer
 

Step-by-Step Car Insurance Claim Settlement Process

The car insurance claim settlement process is straightforward. Even if you’ve never filed a claim request before, you can do it by following the step-by-step instructions listed below.

1. Inform the Insurance Company

   If your car has met with an accident, you should inform your insurer at the earliest. Most insurers prefer early updates as unnecessary delays can complicate verification and inspection.

2. Register the Claim

   After informing the insurer, you should officially register the claim request via the insurer’s website. Online claim filing is recommended as it gives you a tracking number that can be used to track claim-related updates. If your vehicle has been stolen or a road accident involves third-party injuries, you must first file an FIR, as a copy will be required for submission. Besides the FIR copy, you’ll also need other documents as listed on your insurer’s website for a successful claim registration.

3. Vehicle Inspection by Surveyor

   For minor car damages, such as scratches and dents, you can upload photos of your damaged car. A surveyor will be then assigned for inspection. Although minor scratches don’t always require physical verification, a surveyor will schedule physical verification if your car has met a big road accident and incurred heavy damages. The surveyor will visit your location or the repair shop as the scenario, to examine the vehicle. He will check the intensity and extent of the damage and verify policy coverage before preparing the assessment report.

4. Repair Process Begins

   You can take your car for repair after the previous step is finished. If you’re opting for cashless settlement, get the car repaired at a garage in the insurer’s network, where the insurer will directly settle the bill. Those choosing a non-network garage must pay the repair bill out of their own pocket first and then submit the bill to the insurer to claim reimbursement.

5. Claim Approval and Settlement

   After the car repair is complete and you’ve sent the repair bill along with other supporting documents, the insurer will verify them. Once approved, you’ll receive the claim amount (for reimbursement settlements).

How to Check the Claim Settlement Ratio?

You can check the insurance claim ratio online through multiple methods. We’ve listed the key methods below for your convenience.

Check IRDAI Annual Reports

It’s the most reliable source for getting accurate claim-related data in India. IRDAI publishes annual reports containing the performance data of all Indian insurance companies, including the car insurance claim ratio. Although the reports might seem overly technical for a regular car owner, you can skip the non-claim-related information to avoid confusion. Alternatively, wait a while and let top media platforms or leading insurance comparison platforms share the best insurer claim ratios in India. They gather the data using the same report, but present the findings in simplified language.

Visit Your Insurer’s Official Website

Another option to explore the accurate car insurance claim success rate is to find it through your insurer’s official website. Many insurance companies publish their claim settlement ratios and other claim-related statistics on their official website. You’ll usually find this detail in their annual reports, investor presentations, or product-related sections. If you’re unable to find it, consider contacting the insurer’s customer support team. They’ll guide you in finding the precise ratio or communicate the same to you.
 

Points You Must Remember While Checking the Claim Settlement Ratio

While the claim settlement ratio is a good measure to determine an insurer’s reliability, it shouldn’t be the only decision-making factor. If you’re exploring the top insurers’ claim settlement ratios, ensure you do so while being aware of the following points.

• Do Not Judge an Insurer Based on a High Claim Settlement Ratio
  A high car insurance claim success rate may look impressive, but it doesn’t guarantee a smooth claim experience. The ratio only indicates how many claims were settled within a period, not how quickly or conveniently they were handled. Hence, you should also prioritise a smooth claim settlement process so you receive support during emergencies.
• Check Whether the Data is Recent
  It’s a common mistake some people make. The insurance claim approval rate can change over a period due to operational changes, rising claim volumes, or mounting financial pressure. As a car owner, you should look for the latest claim settlement ratios in India, not older than 4 years.
• Claim Settlement Ratio Does Not Reveal Claim Quality
  The claim settlement ratio doesn’t specify whether the claim was fully settled, partially settled, or disputed before payment. If you’re seeking smoothness in claim settlements, then also explore customer reviews for unbiased claim-related insights.

 

Conclusion

Buying the best, most comprehensive car insurance policy can become useless if your claims aren’t approved on time. As a car owner, you need a dependable insurance partner known for fast, smooth claim approval. You can check the insurance claim ratio by following the methods discussed in this blog.

If you’re simply searching for an insurer with simplified claim processes and reliable customer support, then you must explore the Car Insurance policies at Shriram General Insurance.
 

FAQs

1. What can I consider a decent claim settlement ratio in India?

Generally, a claim settlement ratio above 90% is considered good in India.

2. Is a higher claim settlement ratio always better?

Not necessarily. While a high claim settlement ratio indicates higher claim approvals, you should give equal importance to the smoothness of the claim settlement process, claim speed, and quality of customer support throughout the claim settlement process.

3. How long does a car insurance settlement usually take?

There isn’t any fixed timeline. How quickly a claim is approved depends on multiple factors, such as the claim amount, the extent of the damage, and the documentation required.

4. Where can I find the latest claim settlement ratios for all Indian insurers?

You can either check the annual reports published on the IRDAI’s website or explore claim-related information published on individual insurers’ websites.

5. Which claim settlement ratio should raise concern for policyholders?

Anything below 50% to 60% should be viewed with caution. The leading Indian insurers easily maintain a claim settlement ratio of 90% and higher, so choose accordingly.