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BW Businessworld

Five steps to claim car-theft insurance

Car insurance cannot replace your old vehicle, but it can compensate for monetary loss.

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We hear about car thefts often and tend to ignore it as we believe it will not happen to us. But as the best advice goes, precaution is better than cure and hence, it is always good to be prepared for the unexpected. Car insurance cannot replace your old vehicle, but it can compensate for monetary loss.

A comprehensive car insurance policy provides complete and all-inclusive protection for your car from both third-party damages and losses and ‘own damages’. Unforeseen losses like theft come under ‘own damages,’ and are covered under a comprehensive car insurance policy. In case of a theft, the first thing to do is lodge a First Information Report (FIR) with the police stating the case and then inform your insurer. To understand better, let us look at the steps required for claiming insurance for car theft.

  • File an FIR – the first step an insured must do is lodge the First Information Report (FIR) with the police immediately.
  • Inform the insurer – the insured can inform the insurance company about the theft through customer care numbers or by initiating a claim process online. This can be done by providing basic information about the insurance product that you have taken
  • Documents required - The following list of documents must be submitted online or through agents:
  • A copy of the registration certificate (RC) of your car
  • A copy of your driving license
  • A copy of the FIR
  • The first two pages of your car insurance policy document
  • A letter addressed to the RTO intimating theft
  • Obtain a Non-Traceable Report: The police will try to locate the vehicle. However, even after six months, if the vehicle has still not been found, the police will issue a ‘Non-Traceable Report,’ completing the transfer of the RC of your lost car to the insurance company. It should be submitted along with a letter for formally pursuing the claims process.
  • Check for the claim settlement - Once all relevant documents are received by the insurer, the claim will be settled as per the IDV or Sum Insured selected when the policy was purchased.

The process of theft claim settlement can be longer than any other claim as the case involves a police investigation that takes around six months for the police to issue ‘Non-Traceable Report’. The insurance company will take the process ahead only after receiving all the necessary documents and the car keys. If the insured fails to present the car keys or manipulate the keys during the process, the claim can get rejected. Apart from submitting both the keys and copy of the FIR the insured should also keep insurance policy details and vehicle details handy.

Disclaimer: The views expressed in the article above are those of the authors' and do not necessarily represent or reflect the views of this publishing house. Unless otherwise noted, the author is writing in his/her personal capacity. They are not intended and should not be thought to represent official ideas, attitudes, or policies of any agency or institution.


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Vivek Chaturvedi .

The author is Head of Marketing, Digit Insurance

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