Every driver is required to get third-party or comprehensive insurance of the vehicle to protect them from the financial losses of an accident. However, there are 10 cases when a car insurance company can refuse to pay a claim.
1 – Upon entering inappropriate information.
2 – Failure to disclose important matters in the insurance form.
3 – In case of an intentional traffic accident.
4 – Driving in the opposite direction.
5 – When driving under the influence of drugs.
6 – If someone less than 18 years old is driving the vehicle provided that he has not purchased the insurance policy in his name.
7 – If the driver of the vehicle does not have a license to drive that particular vehicle such as someone with a private driving lesson driving a heavy vehicle. Recommended: Types of Driving Licenses in Saudi Arabia
8 – In case of an expired driving license.
9 – In case the number of passengers in the vehicle is more than the allowed capacity provided that overcrowding has caused the accident.
10 – If the insurance claim is lodged after more than one year of the accident.
The insurance documents also state that the insurance company must notify the policyholder of the decision not to pay compensation within 20 days of receipt of the application.
Source: Urdu News