Travelling to a new place for studies, work and a holiday is always exciting. However, unexpected problems such as flight delays, losing luggage and falling sick can quickly spoil all your plans. That’s why many people choose to buy travel insurance to stay protected during such situations.
Travel insurance is very helpful, but only if your claim is accepted. Unfortunately, many claims get rejected because of a lack of understanding or small mistakes. This blog explains why insurance claims get rejected and how you can avoid it.
Understanding travel insurance claims
When you purchase travel insurance, you are paying for safety during your trip. If something happens, like if you fall ill or lose your luggage, you can file for a “claim” to get money from the insurance company to cover your loss.
To make the claim, you must submit specific documents and proof, such as medical reports, police reports, airline letters and receipts or bills. The insurance firm will review the claim and then determine whether to approve or deny it.
What are the reasons for travel insurance claim rejection?
Here are some common reasons why international travel insurance claims are rejected:
1. Pre-existing medical conditions not declared
If you already have a health problem before your trip (such as a heart condition, diabetes, etc.) and you did not inform the insurance company while buying the policy, any related claim can be rejected. Always disclose all your medical history honestly.
2. Claiming for non-covered reasons
Every insurance policy has a list of things that are covered and not covered. For instance, if your policy doesn’t cover dental treatments and you file a claim for them, it will get rejected. Always read the documents carefully to understand what is included.
3. Selecting the wrong coverage in your travel insurance
Travel insurance is often available in a combination of coverages and add-ons. If you have purchased a cover only for baggage, then you cannot claim for financial loss due to flight delay and vice versa. Therefore, it is important to read the contingencies stated in the policies.
4. Fibbing about the details
When you make a claim, the insurer will require a detailed statement of the losses or damage incurred. Never fib about the amount or disclose fictitious losses. Insurance companies employ experienced underwriters who can detect false claims, and it can even land you in a ton of legal trouble.
5. Indulging in activities not covered
Travel insurance policies often exclude damage and losses resulting from participation in adventure sports. Thus, before you consider bungee jumping or skydiving on your next trip, make sure you can bear the risk of any unfortunate event.
6. Alcohol/drug abuse
Any kind of impairment or accident arising due to indulgence in drugs/alcohol is not covered in travel insurance policies.
7. Suicide attempts
Any attempts at suicide or wilfully inflicting harm to oneself are not covered in any travel insurance plans.
Important do’s and don’ts for claim approval
Here are some crucial things you should always do and things you must avoid to ensure your claim is approved.
Do’s:
- Read all the policy documents carefully.
- Inform the insurer as soon as something goes wrong.
- Keep all your original documents, proof of travel and receipts.
Don’ts:
- Don’t tamper with the receipts or submit false documents.
- Don’t hide any health issues.
- Don’t assume something is covered. Check your policy.
How to avoid claim rejections?
You can lower the chances of rejection by taking a few smart steps:
- Pick the right policy: Make sure the plan fits your requirements. If you have any health issues or are planning risky activities, look for a policy that covers them.
- Declare everything honestly: Being honest about your travel and health plans will help you avoid problems later on.
- Understand exclusions: Know what is “not” covered in the policy. Many individuals skip this part, but it's important.
- Keep records: You should keep copies of all the documents, such as prescriptions, medical bills, boarding passes, tickets and any emails with the insurer.
- Act fast: Do not wait to make a claim. Delays will lead to missed rejections or deadlines.
Not sure how to pick or what’s covered in the travel insurance? Get personalised and simple advice that suits your travel plans by filling out the form on this page.
Conclusion
For most travellers, especially those going on a short holiday or business visit, single trip travel insurance is a convenient choice that offers protection for just that one journey. However, getting your claim approved will depend on how well you follow and understand the rules. Missing out on details and small mistakes can cause rejection.
So, always read the policy carefully, act immediately if something unexpected happens and always provide correct information. This can help you make sure your travel insurance works when you need it.
Disclaimer: The information provided in this blog is for educational and informational purposes only. It may contain outdated data and information regarding the topic featured in the article. It is advised to verify the currency and relevance of the data and information before taking any major steps. ICICI Lombard is not liable for any inaccuracies or consequences resulting from the use of this outdated information.