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claim settlement and how to file claim

Claim Settlement & How to File Insurance Claims Understanding how to settle and file insurance claims is essential for getting the protection you pay for. A smooth claims process helps during life’s toughest moments—whether it’s a medical emergency, accident, or property loss. Here’s a practical guide for beginners:

Aug 25, 2025
5 Min Read
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What is Claim Settlement?

Claim settlement means the insurance company pays you or your nominee for a valid claim—after checking all documents and conditions. Fast, fair settlement is a key factor to look for when choosing an insurer.

 

Common Claim Types

Health Insurance Claims: Hospitalization or medical bills

Life Insurance Claims: Payment to nominee on policyholder’s death

Motor Insurance Claims: Repairs after accident or theft

Property/Home Claims: Damage or loss from fire, flood, burglary

 

How to File an Insurance Claim

Step 1: Notify Your Insurer Promptly

Contact your insurer right away (ideally within 24–48 hours for health or motor claims) via phone, app, or website. For health insurance, inform the insurer/hospital TPA before admission for cashless claims.

 

Step 2: Collect & Submit Required Documents

Common documents: Claim form, valid ID proof, policy certificate, bills/receipts, FIR (if needed)

Health insurance: Hospital discharge summary, prescriptions, bills

Motor insurance: FIR (if theft or serious damage), repair estimate, photographs

Life insurance: Death certificate, nominee ID, medical reports (if needed)

 

Step 3: Follow Up

Stay in touch with the insurer. You’ll receive a claim number—refer to this in all communications.

 

Step 4: Claim Assessment

The insurer reviews your claim, investigates (if required), and checks documentation.

 

Step 5: Settlement or Reimbursement

Cashless Settlement:

Insurer pays the hospital directly (for health claims with network hospitals).

Reimbursement:

You pay first, then insurer reimburses after verifying papers.

 

Step 6: Resolution

Approved claims are paid as per policy limits.

If rejected, you’ll get reasons in writing. You can appeal or escalate via the insurer, IRDAI, or insurance ombudsman.

 

Pro Tips for Easy Settlement

Always provide truthful, complete information while filing proposals and claims.

Keep photocopies of all documents and bills.

Review policy inclusions/exclusions and claim timelines.