Making an insurance claim is the real moment of truth when it comes to the relationship you have with your insurers. Sometimes submitting a claim can feel daunting, adding unnecessary anxiety and stress to an already stressful situation. However, with the right knowledge and proper preparation, stress and anxiety can be reduced.
Understand your policy
Knowledge is Power! It is important to read and understand your insurance policy to avoid any unpleasant surprises or unnecessary delays when you claim. Put the power in your hands by understanding the type of cover you have. Your policy could also have a waiting period which means that should something happen during that waiting period you might not be completely be covered – read your policy document to know which waiting period applies. Should you not understand anything in your policy document, don’t be too shy to ask an accredited financial adviser.
Honesty is your best policy
The cover provided by your insurer is dependent on the disclosures you make, so honesty is very important. Don’t filter out any information because if you are not honest, the insurer reserves the right to cancel the contract with you, meaning a lack of transparency and honesty can result in a rejected claim.
Pay your premiums on time
One of the most common reasons for a claim being rejected is non-payment on a policy leading to the policy being cancelled. You can avoid this by ensuring that you pay your premiums when they’re due. If you aren’t able to make the payment, speak to your insurer about the many ways you can make up for missed premiums so that you stay covered.
Keep information updated
Update or check your personal information with your insurer once a year or when a major life event happens. Let them know if you change your cell phone number, get married, have children, or get divorced, as this can affect your insurance needs and your beneficiaries.
To ensure continuity of the cover, let your insurer know if you change jobs or even start a hobby that could be considered dangerous. Not keeping your insurer updated on such changes might result in a claim being invalid, rejected, or reduced. Update your beneficiary details and ensure that your insurer has the correct names, ID numbers, and contact details for each beneficiary listed in your policy.
Empower Your Collective
Keep your policy documents in a safe place where they can be found should you need to claim. Once a year, you can have a discussion with your family about the policies you have in place, what they cover, the premium amounts, when payment is due, and how to pay. You can also teach your trusted family members how to claim should the need arise. Make it normal to talk about finances with your collective – it is something that affects us all, and we should get used to having discussions about our finances.