How do insurance companies work out no claim bonus and can a customer bargain for more?
– Sanjay Gautam

No claim bonus is offered to a customer if he has not made any claim during the preceding year in his motor insurance policy. The percentage of no claim bonus offered at renewal is defined in Indian motor tariff and is followed by all insurers. Customer cannot bargain for higher no claim bonus. One needs to ensure the no claim bonus declaration is correct as incorrect declaration may lead to complications at the time of claims.

My insurance firm has rejected my health insurance claim as the documents provided by the hospital are not in order. How should I escalate the matter?
—Niraj Kadali

You should find out about the discrepancy in the documents submitted. Following which, collect the proper documents from the hospital and submit to the insurance company. In case you are not satisfied with the response from the insurance company you may follow the below escalation matrix: First, you may file a complaint on the email id or on the toll free number of your insurer, which you will find on your insurer’s website. In case of a unsatisfac-tory response, contact the chief grievance officer whose details would be available on your policy or on your insurer’s website. For further escalation you may write to grievance cell of Irdai. Further, you may take up the case with insurance ombudsman for resolution.

Is it a good idea to take a super-top up health plan at the age of 60 years?
—Ajit Mehra

It would be ideal to get a super top-up cover as early as possible in life to derive the benefits of lower premiums and continuity of benefits in the early ages. This will ensure that you are protected from the rising cost of medical treatments and are sufficiently covered.

Do I have to buy top-up health plan from the same company with which I have a primary health cover?
—Punit Gupta

It is not mandatory to have a primary health insurance cover or purchase the top-up cover from the same insurer, in case you already have a health insurance policy. Top-up plans are a good supplement to your existing primary health insurance cover as they provide a larger cover at a marginally higher cost. With rising medical costs, it is always wise to opt for a top-up cover.

The writer is executive director, HDFC ERGO General Insurance. Send your queries to fepersonalfinance@expressindia.com