Best Practices to Keep Your Insurance Policy Active And Valid

Maintaining an active and valid insurance policy is important for ensuring financial security and avoiding complications such as insurance claim-related issues, delay in claim process, and claim rejection services. A lapsed policy not only disrupts your coverage but may also lead to penalties like loss of accumulated benefits, including bonuses or waiting periods.

Below are some best practices to help you avoid these pitfalls and keep your insurance policy in good standing.

1. Timely Payment of Premiums

Paying your premiums on time is the simplest way to avoid a lapse. Insurance companies usually offer a grace period, ranging from 7 to 30 days, during which you can pay overdue premiums without losing coverage. However, failure to pay within this timeframe results in policy termination, leading to claim rejection-related issues and loss of benefits.

Pro Tip: Set reminders for premium due dates or opt for automatic billing modes like auto debit option from your bank to ensure timely payments.

2. Monitor Policy Details Regularly

Regularly reviewing your policy details helps you stay informed about coverage, exclusions, and renewal dates. Many insurers offer digital tools, such as online portals or mobile apps, to manage these details effectively. This reduces the likelihood of complaints about the insurance company due to mismanagement or oversights.

3. Avoid Mis-Selling of Insurance Policies

Mis-selling occurs when policies are sold without proper disclosure of terms or when they fail to meet your needs. To prevent this, always read the fine print and consult and terms and conditions mentioned in the policy. If you have any confusion or doubt, you must be upfront and talk to the agent about it.

4. Submit Claims Promptly

Delays in notifying the insurer about a claim or submitting incomplete documentation can lead to delays in the claim process. Ensure that you have all necessary documents ready and communicate effectively with the surveyor or investigator assigned by the insurance company.

5. Utilize Reminders & Alerts

Insurers give you an option to opt for SMS or email service. This way you can receive alerts and reminders as the renewal dates approach. Take advantage of these notifications to avoid missing deadlines. If you face technical issues or delays, platforms like Bima Seva Kendra can assist with resolving insurance claim-related issues efficiently.

6. Explore Flexible Payment Options

Some insurers allow premium payments via bank or other convenient methods. You can choose to pay monthly, half-yearly, quarterly or annually. These options save time and reduce the risk of missing payments, which can later lead to claim rejection services.

7. Understand Policy Revival Options

In case your policy lapses, most insurers offer revival options where you can reinstate coverage by paying overdue premiums along with interest. However, this process may involve some tests or additional scrutiny depending on the lapse duration. While revival is possible, it’s better avoided as it often results in higher costs and lost benefits.

8. Address Complaints Proactively

If you encounter issues such as complaints about insurance companies or delays in claim processing, address them promptly by contacting customer service or seeking external help from experts like Bima Seva Kendra. They specialize in resolving grievances related to mis-selling, delays and claims rejection.

Conclusion

Keeping your insurance policy active requires diligence, timely action, and effective management of details. By following these best practices, you can minimize risks like insurance claim-related issues, delays in the claim process, and claim rejection services. For expert advice on managing policies seamlessly, consult professionals like Bima Seva Kendra, who are equipped to guide you through every step of the process.