Consider a situation where you have purchased a new set of expensive jewellery and have got it covered under the all risk insurance policy. Now let us consider a hypothetical situation when the jewellery gets stolen (relax! Its’ a hypothetical situation.) You file a claim and are asked for proof of ownership. You raise your eyebrows at the demand and wonder if it is alright for your insurance company to ask for something like this. Well, then you should know that it is absolutely natural.
What Is Meant By All Risk Insurance?
One of the comprehensive and full proof insurance coverage that any insurance company can provide is the all risk insurance. Describing the terms in very simple words, the all risk insurance can be said to be that kind of insurance policy that covers almost every aspect of the insured, unless something is specifically omitted. For instance, let us consider an insurance policy concerning your car. If the policy that you have opted for does not explicitly exclude coverage due to earthquakes or floods, the repairing expenses of the car in such events may be very well covered by the policy.
Proving Ownership- How Important It Is?
Filing for insurance claims and getting reimbursed in the case of all risk insurance is not really a difficult procedure if you have all the correct and relevant documents up your sleeve. One of the most important aspects of the entire deal that you have to bear in mind is with respect to proof of ownership. Many policyholders are often quite surprised when they are asked to provide relevant proof of ownership for the object of claim. Proving ownership of the insured item in case of a claim holds a position of utmost importance in order to rule out fraud and to establish the authenticity of the claim.
What Can The Insurance Company Expect As Proof Of Ownership In Case Of Claim?
So, that is the next question that comes to your mind. What exactly can the insurance company seek as proof of ownership when you file a claim for the insured object? It is quite natural for insurance companies to demand certain proof of ownership in case of a claim on an item purchased recently. However, insurance companies have the right to ask for proof of ownership even in the case of claims on objects purchased quite earlier.
- Photographic record can serve as a valid proof of ownership in case of gifted items. However, it is best if you do not treat it as conclusive proof of evidence.
- Get your jewellery evaluated periodically and preserve the record of evaluation. This serves as important proof of their worth along with ownership.
- It is also best if you can preserve the record of the monetary transactions of the object during purchase. This can include credit card receipts, bills and the like.
Proving ownership might be a tricky accomplishment if you are not aware of the rules and regulations set by the insurance companies. It is therefore, best to be aware of all the clauses of your all risk insurance policy statement before anything else. Doing so saves not only your time and effort, but also helps in establishing your claim and getting reimbursements for it faster.