Anatomy of Finance, June 2018 fourteen

( bel )

Control

of claims and Subrogation Condition The insure molarity

ay claim

either from the negligent

third party who was

responsible for the damage or liter

operating system, or from his

insurance company. If the claim

is made from his

insurance company the insurance company is

entitle to subrogation right against the one-third party. however, the insurance company must first pay the claim before it can assume the correct of subrogation.

( c )

Maintenance

and

Examin

ation :

This condition

requires that

the

insured should

maintain his

fomite

in an

efficient

condition always.

Where

it

is discovered

after

accident or

loss

through larceny,

that the

vehicle was

not road

wor

thy,

the insurance company

might withhold

settlement

( Rejola, 2008 ) ( d )

Arbitrat

ion condition This clause is used to set

tle dispute between the see

and the insurance company in the consequence of discrepancy

as

to

the

sum o

farad

claim

collectible.

The policy

condition

normally

lie

down

t

he arbitration operation to be followed in the tied

triiodothyronine of claim challenge involving quantum

. Duties After an accident

Once

an accident occ

ur it is

important to beginning

decide whether anyone is

hurt. If

person is in

jured, an ambulance should be called immediately. If there are bodily

injury and property damage, the

police

should

be

notified

immediately.

The

list and

address

of

the

other

driver‟s

and

the

insured‟s insurers and agents should be exchanged and the name and addresses of witnesses. It is authoritative not to admit

demerit

immediately

since metric ton

his would

be

determined

by

the

insurance company

or

the

law

court

( Vanghan

& Vanghan, 2003 ).

T

he

insure

is requi

red

to notify

his

insurance

company or

agent

promptly

of the

accident. failure to

report the accident in

meter can jeopardize the

coverage. One must cooperate

with the insurance company during investigation and

settlement of claim. The subrogation

right must besides be

given to the insurance company

to recover claim paid. Claims Procedure and Settlement in Different C

lasses of Motor Insurance coverage ( a )

Motor Accident

Claim:-

Upon receipt of the presentment of the accident, the insurance company checks its records t

o ensure

that there

is top ;

that

the policy

is in

coerce

at the

material time

and that

it covers

the

event

which

is

the

subject

of

the

claim.

The

insurance company

may

decide

to

do

any

of

the following : – ( iodine )

Repair the Vehicle

(if it is repairable dam

age)

( two )

Total Loss

Claim

and

Salvage:

This

is

when

raised

estimate

of

compensate

is

proportion t

o

sum insured, the insured is paid full moon indemnity

and the scrap is left with the insurance company. ( three )

Third

Party

Liability Claims:-

The insurance company

settle thymine

he third

party indebtedness

on motor

and

other place by paying the insure or the thi

rd party cash in stead of repairs. ( b

)

Motor Fire

Claims:-

Claims for l

oss of or

damage to an

insured vehicle by fire

are treated on

exchangeable lines

as accidental damage

claims. Insurers are

extremely

careful

and conscientious in

the probe

of

fire

claims

due

to

moral

venture

of

the

insured,

to

ensure

actual

claims are actually paid. ( c )

Motor

Theft Claims :

Imm

ediately the

vehicle is stolen

the incident should

be reported by

the

insured to the patrol and former forward in writing a report to the insurance company within a stipulate time. 348

Leave a Reply

Your email address will not be published. Required fields are marked *

%d bloggers like this: