Insurance corner

IBSURANCE companies are expected to write insurance policies in easily understandable language. Policies spell out what is covered and what is not covered. If necessary, plain language explanations could be a supplement to the legal language.

The insurance company draws the attention of the policyholder/ claimant/beneficiary both when he/she signs a policy (for policyholders only) and when he/she reports a loss on his/her duties related to claim reporting.

Claims must be reported in a timely fashion. The policy holder must co-operate in the investigation by providing the company with all relevant information and, in particular, copies of official documents regarding the damage e.g. accident, loss, etcto authorise the insurance company to handle necessary inspections and assess the extent of the damage prior to any repairs or replacement.

To ensure that the claims reporting phase proceeds as smoothly as possible, the insurance company sends to the policyholder/claimant/beneficiary within a reasonable period, beginning from when the loss is reported, an appropriate claim form indicating when the loss reporting is made in writing for the type of policy - prepared by an individual insurance company together with instructions and useful information on how to comply with the terms of the policy and the legitimate requirements of the company. This information is necessary to help them to report the claim.

The insurance company’s Claim Department and/or the agent (if applicable) are as accessible as possible for the claimant. If an agent/broker/ intermediary is an initial contact for claimants, claims should be sent to the insurance company’s Claim Department within an appropriate time period.

The insurance company