• Theft Claim Process For Car Insurance

    Car Insurance
    • Protect yourself with third party or comprehensive cover
    • Use bumper to bumper policies to reduce your liability
    • Enjoy facilities like zero depreciation and roadside assistance covers

    For a common man, buying a car or a house is nothing less than an achievement. We ensure its security in every way possible by installing anti-theft devices, vehicle insurance, etc. Even then, mishaps can happen. Thefts and burglary are common especially, in metropolitan cities. With advancement in technology, thieves have found new ways to break into a car and drive away. However, if you have car insurance and want to be aware of theft claim process, this is all you have to know.

    As you know, only comprehensive car insurance covers theft, burglary, etc. Third-party liability policy does not hold good for this claim as it only covers the bodily injuries, death or property damage caused to the third-party by the insured vehicle. If you are an owner of a new car, then note that driving any motor vehicle without valid motor insurance is an offence according to the Motor Vehicles Act, 1988. Under this act, the owner of the registered vehicle can be penalised and the Registration Certificate of the vehicle can be cancelled temporarily until he/she obtains a valid motor insurance policy.

    If you are looking to buy a car insurance policy for your vehicle, then a comprehensive car insurance policy is the ideal choice. As mentioned above, not only does it cover theft or burglary, it covers accidents, own damage, natural disasters, and man-made calamities. You can easily buy car insurance policy online through the insurer’s website or on any neutral third-party websites.

    Theft claim process:

    • The first thing to do once you realise the car is stolen is ‘do not panic’. Call the insurer and mention about the incident along with the time and place, and any other details if required. Be sure to inform the insurer within 48 hours of the incident.
    • File an FIR (First Information Report) at the nearest police station stating the details of your car like chassis number, registration number, model, belongings inside the car, scratches dents, etc. so that it would help the investigation.
    • For legal purposes, inform the RTO where the vehicle was initially registered.
    • While these are done, you are required to submit a list of documents (mentioned below) to the insurer to process the claim.
    • The insurer usually has a time frame of 60-90 days to process a theft claim because the theft vehicle may be found by the police within this duration, but until such time, the claim amount will not be released.
    • Be aware that the insurer may also conduct investigation to trace the car. You may be required to provide few details of the stolen car to the insurers which would help them in the investigation.
    • After a significant amount of time (usually, 60-90 days) if the vehicle is untraceable by the police, the police officials with whom the FIR was filed will issue a ‘no-trace report’.
    • Once you get the ‘no-trace report’, submit it to the insurer to process the claim and release the fund.

    List of documents to be submitted to the insurer:

    • Copy of the FIR
    • Original Registration Certificate
    • ID proof like DL or PAN card
    • Sales Receipt of the vehicle
    • Car insurance copy
    • Car key (original)
    • Transfer papers by the RTO
    • Form 28, 29, 30 & 35
    • No-trace report
    • Claim form duly filled

    Only if you have a return to invoice cover, the insurer will pay the initial value of the car. Else the claim amount will be paid to you as per the Insured Declared Value of the vehicle. It is important to know the procedure and steps to be followed to make a theft claim. At the same time, be sure to secure your car with ARAI approved anti-theft devices for safety.

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