Your insurance company provides you with this application so that you can claim benefits under your insurance contract, whether it is life, car or health insurance. You must apply before paying any money to any contracted service, such as your hospital or car repair shop. When filing an insured event, the company may, based on an assessment of the situation, pay out the insured event or not.
When you conclude an insurance contract, you must continue to make monthly payments to the insurance company. These are called bonuses. In general, these premiums are used to increase a company’s available assets or to settle another person’s receivables. Occasionally there is an accident that can cause financial damage, such as a tornado, car wreck or work accident. When this happens, the injured policyholder can file an insurance claim to get money from that company.
When filing an insurance claim, you submit it to a local representative who works for the company and who is responsible for invoking specific details of the claim. Then the agent arranges a payment from the main insurance company. Many times, the necessary forms can be submitted directly by an insurance body recognized by the insurance company, such as a repair shop, a construction company or a healthcare professional. If the other party has agreed to pay for his mistake out of his own pocket or if the damage is small, the policyholder may not want to file an insured event.
After the claim has been filed, the insurance company usually has an appraiser or liquidator who assesses the damage without bias and determines whether the estimates of the repair received by the policyholder are realistic. This can help prevent fraud from companies that increase their estimates in order to obtain additional compensation. Most insurance companies will accept the appraisal of the appraiser or liquidator as the last word. Some benefits may not be paid for many reasons. Some of these reasons may include:
• The applicant’s premium is not paid each month and is behind
• The policy may be inactive
• Another insurance company may have agreed to cover the damages that were stated in the insured event. This often happens in traffic accidents where one of the parties is responsible for the accident.
• Failure to meet the conditions covered, as most insurance contracts specify specific areas that are eligible for benefits
• If the claim for damages or accidents was an inevitable “Divine Deed” or was caused by negligence, your insurance company has the right to withhold payment.
The only way to officially claim benefits is to apply. Until your insurance company assesses the damage, it will remain so and not a payment.