Car Insurance Claim Settlement Ratio

Posted:

02 February,2024

Updated:

30 May,2024

claim settlement ratio in car insurance

Choosing the right car insurance can be tricky. You have to compare different features, coverage, and claim services. While price matters, what really counts is knowing the insurance company will have your back when you make a claim.

 

The Claim Settlement Ratio (CSR) helps by looking into the past to understand how well an insurance company supports its customers. Join us as we make sense of this important factor, so you can feel confident when choosing car insurance.

 

What is the Claim Settlement Ratio?

The Claim Settlement Ratio is a crucial indicator used in the insurance industry to assess the performance of an insurance company. It represents the ratio of the total number of claims settled by an insurance company to the total number of claims received in a specific period. This ratio provides insight into the insurer's reliability and efficiency in settling claims and fulfilling its obligations to policyholders. A higher CSR typically indicates a greater likelihood of the insurer honouring claims and providing effective customer support. 

 

How is It Calculated?

The Claim Settlement Ratio in Car Insurance is calculated by dividing the total number of claims settled by an insurance company during a specific period by the total number of claims received in the same period. The result is then expressed as a percentage.

 

CSR = (Total number of claims settled / Total number of claims received) x 100

 

What Are the Types of Claim Settlement?

The following are the two main categories of claim settlement in Car Insurance.

 

1. Cashless Claims

In cashless claims, the policyholder can get their vehicle repaired at a network garage without paying for the covered expenses upfront. The insurance company directly settles the bills with the garage, making it convenient for the policyholder.

Example

After John's car is in an accident, he utilises his Car Insurance with a cashless claim facility. He selects a network garage recommended by his insurance provider, where the damages are assessed and repairs performed. John doesn't have to make any payments at the garage, as the insurer handles the bill directly. The only payments required from John would be for deductibles or any expenses not included in the policy coverage.

 

2. Reimbursement Claims

With reimbursement claims, the policyholder pays for the repair expenses out of pocket and then requests the insurance company to reimburse the covered expenses as per the policy terms.

Example

Sarah's car is damaged in a collision, and she has insurance with a reimbursement claim facility. She gets the car repaired at a nearby garage and pays for the repairs herself. After the repairs are done, she files a claim with her insurance company, providing all the necessary documents. The insurance company reviews the claim and reimburses Sarah for the covered expenses as per the policy terms.

 

How to make a Cashless Claim with Shriram Car Insurance

The following are the steps for cashless claims with Shriram Car Insurance.

Step 1: Contact Shriram General Insurance's Claims Help Desk at 1800-300-30000/1800-103-3009 or visit our website www.shriramgi.com/mobile app MySGI.

 

Step 2: Click on the 'Claims' tab, select 'Intimate a Claim', download and complete the claim settlement sheet, and then click 'Submit.' A representative from Shriram General Insurance will follow up with additional details and instructions.

 

Step 3: Once your claim is registered, a loss assessor/surveyor will inspect your vehicle to assess the damage. Information about the surveyor will be communicated to you via SMS or Email.

 

Step 4: Submit all necessary documents to the surveyor to finalise the damages/losses necessary for the processing of your claim.

We will cover the entire repair cost based on the amount of your claim, with the exception of any compulsory and voluntary deductibles you selected at the time of purchasing the policy. You are responsible for paying these deductibles.

 

Navigating claim settlement with Shriram Car Insurance

At Shriram Car Insurance, we understand the importance of a smooth and efficient claim settlement process for our valued customers. Here's what you need to know when navigating claim settlement with us.

  • Streamlined Claim Process: We offer a streamlined and hassle-free claim process to ensure minimal disruption and maximum convenience for our customers.
 
  • Dedicated Support: Our team of dedicated professionals is committed to providing personalised assistance and guidance throughout the claim settlement journey.
 
  • Transparency and Clarity: We prioritise transparency and clarity in our claim settlement procedures, keeping our customers informed at every stage of the process.
 
  • Cashless Facility: With our cashless claim facility, we aim to simplify the claims experience by enabling direct settlement at our extensive network of authorised garages.
 
  • Prompt Resolution: We strive for prompt and efficient resolution of claims, prioritising customer satisfaction and peace of mind.
 

With Shriram Car Insurance, rest assured that navigating claim settlement is a seamless and customer-centric experience.

 

Common Causes for Claim Rejection

 Common reasons for claim rejection in car insurance may include the following.

 

1. Policy Violations: Claims can be rejected if the policyholder has violated the terms and conditions of the insurance policy, such as driving under the influence or using the vehicle for illegal activities.

 

2. Unapproved Modifications: Claims for damages related to unapproved modifications or enhancements made to the vehicle may be rejected if these alterations were not disclosed to the insurance company.

 

3. Lack of Documentation: Inadequate or missing documentation, such as a valid driving licence, vehicle registration, or proof of ownership, can result in claim rejection.

 

4. Delayed Reporting: Filing a claim after the stipulated time frame specified by the insurer can lead to claim rejection. However, if you have a valid reason for the delay, your claim request may be considered.

 

5. Pre-existing Damage: Claims for pre-existing damage or wear and tear that occurred before the insurance coverage period may be rejected.

 

It's important for policyholders to familiarise themselves with the terms and conditions of their car insurance policy to avoid these common reasons for claim rejection.

 

FAQs

The following are answers to some frequently asked questions regarding Car Insurance Claim Settlement.

 

1. What is a claim settlement ratio, and how does it impact my car insurance policy?

 The claim settlement ratio indicates how efficiently an insurance company settles claims. It reflects the company's reliability in fulfilling its obligations.

 

2. What documentation is typically required when filing a car insurance claim?

Typically, documentation such as a claim form, copy of the insurance policy, police report (if applicable), and repair estimates are required when filing a car insurance claim.

 

3. How long does it usually take for a car insurance claim to be processed and settled?

The time taken to process and settle a car insurance claim varies depending on the complexity of the claim. However, insurance companies strive to settle claims promptly.

 

4. What are the common reasons for claim rejection in car insurance?

Common reasons for claim rejection include policy violations, unapproved modifications, lack of documentation, pre-existing damage, and negligence.

 

5. What are network/cashless garages?

Network/cashless garages are authorised repair facilities that have a tie-up with an insurance company. Policyholders can avail cashless claim facility for vehicle repairs at these garages, allowing for direct settlement of bills between the insurance company and the garage.

 

6. Can I choose any garage for repairs, or am I required to use a network garage for cashless claims?

For cashless claims, policyholders can use network garages recommended by their insurance provider. However, for reimbursement claims, they may have the flexibility to choose any garage for repairs.

 

7. Are there any specific steps I should follow when filing a car insurance claim to ensure a smooth settlement process?

When filing a car insurance claim, it's important to promptly report the incident, gather all relevant documentation, and adhere to the specific claim filing process outlined by the insurance company.

 

8. How does Shriram Car Insurance prioritise customer satisfaction during the claim settlement process?

Shriram Car Insurance prioritises customer satisfaction during claim settlement by offering a streamlined claim process, dedicated support, and ensuring transparency and clarity in the process.

 

9. Are there any exclusions or limitations I should be aware of when filing a claim with Shriram Car Insurance?

There may be exclusions or limitations on specific types of damage or incidents covered under Shriram Car Insurance. It's advisable to review the policy documents for details on any exclusions or limitations.

Save up-to the 85% off on your car Insurance

Save up-to 85% off on your Car Insurance

Save up-to the 85% off on your car Insurance

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