Understanding the Total Loss Car Insurance Claim Process

What is a Total Loss in Car Insurance?

In simple terms, a car is considered a total loss when the cost of repairing it after an accident exceeds 75% of its Insured Declared Value (IDV), as per the Insurance Regulatory and Development Authority of India (IRDAI) guidelines.

In cases of theft where the car is not recovered, it is also treated as a total loss.

Real-Life Example

Imagine your car is worth ₹8 lakhs (IDV). After a major accident, the estimated repair cost comes to ₹6.5 lakhs. Since this exceeds 75% of the IDV, the insurer will consider the vehicle a total loss. You will then receive a claim settlement close to the IDV, after deductibles.

Step-by-Step Process of Filing a Total Loss Car Insurance Claim

Here’s how you can navigate the total loss claim process smoothly:

Immediate Intimation to Insurer

As soon as the accident or theft occurs:

• Inform your car insurance provider, such as Jio Insurance Broking, via call, email, or mobile app.
• Share basic details of the incident including time, location, and vehicle registration number.

Police Report (FIR)

• For accidents involving third parties or theft, file an FIR at the nearest police station.
• This report becomes a crucial document for claim approval.

Inspection by Surveyor

• The insurance company will appoint a licensed surveyor who inspects the car at the garage or accident site.
• The surveyor submits a report estimating repair costs and recommending total loss if applicable.

Submission of Required Documents

You’ll need to submit:

• Car insurance policy copy
• RC (Registration Certificate) of the car
• FIR copy (in case of theft or major accidents)
• Driving license
• Claim form (duly filled)
• Vehicle keys
• RTO forms for deregistration (Forms 28, 29, 30, and 35 if under loan)
• NOC from financer if your vehicle is financed

IDV Confirmation & Deduction

• The insurer calculates the final payout after deductibles, salvage value (if applicable), and depreciation.
• Jio Insurance Broking ensures transparent calculations and quick communication.

Claim Settlement

• Once approved, the claim amount is disbursed to your bank account or to the financier in case of a loan.
• The insurer may take possession of the damaged vehicle, which is then auctioned for salvage.

Total Loss vs Constructive Total Loss: What’s the Difference?

• Total Loss: Repair cost > 100% of IDV
• Constructive Total Loss: Repair cost > 75% of IDV (as per IRDAI guidelines)

Both qualify for complete payout of the insured value, but constructive total loss is more common in accident scenarios.

Important Tips to Maximize Your Total Loss Claim

1. Always insure your car with the correct IDV: Avoid under-insuring to save premium, as it reduces your payout in total loss.
2. Renew your policy on time: Lapsed policies don’t cover claims.
3. Keep digital copies of documents: Quick access helps in speeding up the claim process.
4. Choose a trusted insurance broker like Jio Insurance Broking: They guide you through the process, ensure accurate documentation, and negotiate on your behalf with insurers.

Why Choose Jio Insurance Broking?

At Jio Insurance Broking, we understand how stressful a total loss can be. That’s why we offer:

• End-to-End Assistance: From documentation to coordination with insurers.
• Digital Claim Tracking: Real-time updates on claim status.
• Expert Advice: On choosing the right car insurance policy with suitable IDV and add-ons.
• PAN India Support: Extensive partner garage network and 24x7 assistance.

With us, you don’t just buy a policy – you buy peace of mind.

Total loss scenarios may be rare but can leave you financially vulnerable if not handled smartly. Understanding the total loss car insurance claim process empowers you to act quickly and confidently when the unexpected strikes.

Whether you’re dealing with a stolen vehicle or a severely damaged car, Jio Insurance Broking ensures your interests are protected at every step.

Need help with your claim or want to explore better car insurance options? Reach out to Jio Insurance Broking today. Because your car deserves the best protection.