We take out insurance on our car with the expectation that we will be covered (depending on our specific plan) in the event of an accident. However, there are certain cases where insurance companies refuse to provide cover, due to a number of reasons which will be discussed in this article. Make sure that you don’t fit into any of the cases below, if you want to avoid being in a tricky situation where you don’t get the cover which you agreed to.
Be truthful about previous convictions:
It is important to be truthful about previous convictions. If you, as the policy holder, withhold vital information in the hopes of receiving a lower premium, the insurance company will not cover you in the event of an accident if they learn that you have not been truthful.
Don’t be misleading about who the main driver of the car is:
Often, people try to cut their premium payments by being dishonest about the main driver of the car. This usually happens when an inexperienced or young person is the main driver of the car. Make sure that you are honest about this as it can cause your insurance company to not cover you if you are found out.
Inform your insurer about all previous claims:
It is important to inform your insurer about all issues regarding previous claims, as by not doing this, you are violating the insurance principal of utmost good faith. This includes the following: any modifications that have been made to the car, which could affect its safety or value; a change in your car’s usage; and providing a false address as to where your car is kept.
Report a claim immediately after an accident has happened:
If you do not report a claim immediately after your accident has happened, the insurer may rule your claim out and refuse to offer compensation. Therefore, be sure not to wait too long to report an accident and file a claim.
In summary, it is important to be honest with your car insurance company, in order to avoid tricky situations where you find yourself being refused cover when you need it most. Follow these basic tips and there will be no need to worry!