5 Ways You Can Ensure Fast & Smooth Claim Settlement
Term insurance plans come in all shapes and sizes and bring several benefits with them. Finding the best might be a little tricky with a plethora of options available in the market. When looking to purchase a term plan, one must look for two important details: a better claim settlement ratio and the ease of filing for the claim settlement. Also, a trusted brand is usually better than an unknown entity.
Both purchasing insurance and settling claims should be equally hassle-free. This has been one of the driving principles at the Tata AIA Life Insurance. We understand that our customers expect excellent service, which means a fast and smooth claim settlement experience, as this is when you use the term insurance plan’s benefits.
What is a term insurance plan?
Let us understand this financial product in simple words. A term insurance plan is a life insurance plan providing comprehensive financial coverage for you and your loved ones during the various uncertainties of life. It is important to safeguard your family in situations like loss of income, untimely demise of a loved one, or critical illness. Term insurance plans offer insurance benefits as well as other protection in times of need.
Why do I need a term insurance plan?
The simple answer: life is uncertain, and you need to be prepared for anything. Appropriate planning when you have the time and resources to plan will help you face challenging situations. Hence, it is advisable to make a term plan part of your investments to cover critical illness and situations like untimely demise.
How can I ensure a fast and smooth claim settlement?
To make the claim settlement process quicker and a smooth experience, everyone should follow a few good practices. It does not matter if you have an online term plan or an offline one. If you follow the practices suggested here, you will have an uncomplicated settlement experience. These practices will aid in speeding up the insurance claim process, and you will have one task less to worry about.
1. Honesty is your friend
When you fill the application form, and yes, you should fill it instead of taking help from
someone else. Be truthful about your medical history, health conditions, or any other
complications. Also, let the insurer know about any habits you might have, like alcohol use,
smoking, or substance abuse in the past. This will avoid any complications arising due to false
details during settlement.
2. Keep your policy active. Pay the premiums on time
Insurance claims are paid only to active policyholders. This means if you miss your premiums,
your term plan, along with all the benefits, will become dormant and turn void. You will have an
inactive policy, which means no settlement will be executed. Therefore, never skip your premium
3. Do not skip your medical checkups
Health checkups update you and the insurer about your present medical conditions. Sometimes,
they might also be free or paid for by the insurer. Getting the tests done is helpful while buying a
term plan. It allows the insurer to understand the current situation and clarifies the medical
condition of the policy buyer.
This not only reduces the chances of rejection but also helps later in settlements. If any
complications arise due to symptoms/conditions detected during such tests, the buyer can always
claim a truthful disclosure.
4. Take some time to go through the policy contract before signing it
You should know what you are covered for and what constitutes exclusions according to the
policy. All the term insurance benefits should be understood well, and reading the document
thoroughly helps. It is also helpful when you want certain inclusions, which are not a standard
part of the current plan. In such cases, you can always upgrade or include additional
riders1/benefits to the current plan. Reading the policy documents also updates you of any
prerequisites needed for claims.
5. An updated profile is extremely helpful during settlements
Imagine you want to file a claim for the term plan because of the sudden demise of a loved one.
All other requisites in place, if you have the nominee details and address updated, the settlement
process will be smooth as the company now knows about the settlement recipient. Therefore, it is
suggested that you update the nominee details like name, address, contact details, etc.,on the
For a married person, the nominee can be a spouse or children. For an unmarried person, the
nominee can be parents or guardians.
What is the claim settlement process?
As soon as you know that you need to claim the insurance, reach out to the insurer via the call center (or the agent, if the plan is purchased via an agent.) Let them know about your policy identifier (ID number) and share the reason for the claim. Follow the process suggested by the support team, which usually involves submitting documents to verify the claim.
Term insurance plans come with various benefits and should be considered according to individual requirements. Insurers with a high claim settlement ratio ensure good service and long-term association benefits. A smooth claim settlement experience starts with a few simple good practices so that at the time of need, this process is smooth. Also, the payout can be disbursed quickly, making it readily available for use.
There are various Term Insurance Plans available with TATA AIA Life Insurance, and depending on your needs, you can pick the one that suits you the best. You can start anytime, the earlier, the better, and choose from various premium frequencies according to your convenience.
TATA AIA Life Insurance is easily one of the trustable insurers in the country, with a very good claim settlement ratio of 99.06% for FY19-20. We constantly strive towards improving the claim settlement ratio so that our customers win every time.