When not to file Car insurance claims


21 Jul 2023

Read about When not to file Car insurance claims. For more information, check out the car insurance policy from Kotak General Insurance.

Car insurance claims can be a tricky and confusing process. Knowing when to file a claim and when not can be difficult, as it involves understanding the ins and outs of your policy. Filing claims too often can cause your insurance premiums to increase, while filing too few could mean you miss out on valuable coverage. To help you make the best decision for your situation, here are some guidelines for when not to file a car insurance online claim.

When should you not file a car insurance claim?

Here are some scenarios when filing an auto insurance claim maybe not be a good idea:

1. Minor damages:

If your insured vehicles have suffered minor damages like broken mirrors, small dents or scratches, it might not be a clever idea to file an auto insurance claim. Sure, you will get the damage fixed in low to no out-of-pocket expenses, but the damage it has on your no-claim bonus is really not worth it.

2. High deductibles:

Some car insurance providers set their policies with voluntary deductible amounts. How it works is the insured agrees to pay a certain percentage of the total claim amount in order to get a discount on the premium. This deductible amount can either be voluntary or involuntary. Either way, if you have a high deductible amount on your policy, it might not be a good idea to file auto insurance claims often.

3. High no-claim Bonus:

No-claim bonus or NCB can be defined as a monetary benefit that insurance providers offer to the insured if they do not file any claim for one or multiple consecutive years. This bonus is offered as a discount on premiums ranging up to 50% for the fifth consecutive year and whenever, the insured decides to file a claim, this bonus is not applicable anymore. So, if you have that high of an NCB ongoing, filing an auto insurance claim might cost you more money in the long term.

4. Mutual settlement:

In certain situations, if someone damages your automobile, they may want to pay the damages right away rather than report it to the insurance company and jeopardise their driving record. So, if some other vehicle or car smashes into your four-wheeler and the car owner is willing to cover the damages, you may choose not to file a claim. In the same way, if your insured car damages a third-party property, settling the problem right there can be helpful for you.


Ultimately, the decision to file a car insurance online claim is up to you. There are no hard rules, and it's ultimately up to your judgment call. The better you understand your situation and your insurance policy, the easier it will be for you to decide whether or not filing a claim is in your best interests.

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Team Kotak GIC

The content of this blog has been created and carefully reviewed by the esteemed team at Kotak General Insurance, with the sole purpose of providing valuable guidance and sharing insights on the importance of general insurance. Our objective is to assist users in making informed decisions when purchasing or renewing insurance policies for their cars, bikes, and health. Our expertly curated information aims to empower our readers with the knowledge they need to protect their valuable assets and financial interests.