Insurance companies cannot deny the claim of the insurance policy holder on the fact that the policy holder delay in filling the claim as well as valid documents particularly in the case when the delay is because of unavoidable circumstances.
Insurance Regulatory and development Authority (IRRA) has issued a circular regarding this issue. In this circular IRDA says that there are many complaints by the insurance policy holders about the claim. Either there claims are not entertained or they get a lot of harassment about the claim only by this that the claim is not claimed at time.
With the current rule, the policy holder should make claim with the prescribed time and with valid documents. Insurance companies need to know about any damage, because they need to collect information as well as investigation about the damage. IRDA clear it that this thing does not prevent from the policy holder to get the claim when the claim is late because of unavoidable circumstances.
IRDA further state that if the valid claim are not entertained, the people leave the believe on insurance in India. So the claim time is not as important as it was. So the insurance companies should treat these claims as important, compare to bad claim.