Will Your Claim Get Paid?
The problem with some Insurers is that they employ a marketing team to sell you the idea that their product is best for you. In doing so there may be a lot of “Fluff” and maybe even some confusion as to what your responsibilities may be.
So I’m going to present to you the 5 main reasons why your 4X4 claim could be reduced, or refused.
1) MisrepresentationThe questions that are asked of you when you obtain a quote are incredibly important. They allow the insurer to determine whether they can insure you under their guidelines and if so, what premium they need to set. If the insurer would have knocked you back during the quote having had the full information and they find out at the time of claim that the information was wrong, is it right to expect to get paid? And should everyone else have to fund that potentially claim? The main culprits are previous claims and driving offences, so if you’re not sure, get the facts and speak to your insurer to get it right.
2) Doing something illegal So, you hooked up the snatch strap to the gate across a closed track and had part of it come through your back window?You and your mates head of DI for the weekend and your beach drifting is caught on your mates action cam, which ends up on his social media page just before you hit that washout sideways doing 20kms over the speed limit which intern sees the wheels facing the sun and your kit spread all along the high tide mark. Well your claim isn’t going to get very far. Any claim made whilst undertaking any illegal act will be denied. This includes trespassing and going into closed tracks or closed roadways.
3) Not adhering to license conditions As frustrating as it is, nearly every state has different rules, but younger drivers on provisional licenses have conditions on their licenses that stipulate when and what they can drive and who they can have in the car. Ending up on your roof around midnight after testing your “Flex” at the nearest round about with 6 mates in the car and on P plates, well we certainly hope everyone is OK, but there will be issues. Others have medical conditions that necessitate prescription medication or even glasses, so heaven forbid you do indeed need medication but you were in a rush to get a good spot on the beach or you prefer to drive by brail because you look better without your prescription glasses and an unfortunate situation does occur and there is an accident, then the next step may be an unpleasant one.
Finally, stick to the license class, you can’t drive a Truck on a Class C license (nor should you try!).
4) Illegal Modifications So modifications on your 4by have been the topic of the year. There has been enough on this topic to last the next 5 years. When it comes down to modifications it is on the owner to ensure the vehicle is compliant with the legislation in the state where it is registered. Your insurers position on a claim is that if the illegal modification could have contributed to the claim, then it is likely you will have an issue. Got 3 inches of lift with 35’s and had someone rear-end you in traffic, there may be no problem. But did you roll the same rig off the side of the highway, completely destroying it, then yes you will more than likely have an issue. In that specific example the reason is because the increased centre of gravity would have likely contributed to that incident – and that is the key word; contribute.
5) Contributory If it is deemed that you contributed to the incident, then there will almost certainly be issues with your claim. Left your keys in the car or the doors unlocked and it got stolen? Did all your 12v wiring yourself with incorrect gauge cable and no fuses? Was it posted on your Social Media page that you rolled your car off a cliff yourself or arranged for it to be knocked off and destroyed? All of these are circumstances that could see your claim reduced or refused.
Now heres something to keep in mind when your claim is denied, this information is kept. A declination goes onto a register and you will need to notify all prospective insurers. Should there be any potential fraud identified there is also a very real possibility of charges being laid and that tag landing next to your profile, which you will also need to declare for quite some time.
So after reading this, do you believe any of these circumstances are unfair? Put yourself in the shoes of those who do the right thing, would you want to pay through your premium next year for the cost of someone who thought it was reasonable to get paid for doing the wrong thing?
Now if you are unsure, check it and then recontact your insurer. Remember when taking out an insurance policy you are entering into a contract – you wouldn’t misrepresent yourself on a contract with a bank or other organisation would you?
Hopefully this helps to bring some context and sense. It really is commonsense and not a hard thing, if you are unsure check. Its far easier and less expensive to get the ducks in a row than to assume “She’ll Be Right” Keep Livin' The Dream