We can rest easy knowing we have auto insurance. We pay premiums in the hope that we will be protected in the event of an accident, theft, or damage. But what if, just when you need it most, your claim is rejected? That is a harsh reality for many car owners in Dhaka and throughout Bangladesh. Insurance does not guarantee a payout. Your claim could be dismissed for unforeseen circumstances, such as not turning off your GPS tracker, giving false information, or failing to submit the report on time. Even minor errors could have significant consequences when it comes time to file a claim. At Prohori, we’ve seen directly how avoidable mistakes can cause serious harm to auto owners. That’s why we’ve put together this guide—so you don’t get caught off guard. Below are the five most shocking reasons your car insurance claim can get rejected, and how you can avoid them
5 Shocking Reasons Your Car Insurance Claim Can Get Rejected
You may think that once you’ve paid your premiums, you’re fully protected by your car insurance. However, in practice, many drivers are left feeling surprised and irritated when their auto insurance claim is denied, often for reasons that are unexpected. Small mistakes, such as failing to turn off your GPS tracker or missing a deadline, can have significant repercussions. These errors can occur to anyone and are more common than you might think. Whether you’re arriving in Dhaka or anywhere in Bangladesh, knowing what to avoid can save you from disappointment when you need your claim the most. Below are the five most shocking reasons your car insurance claim can get rejected, and how you can avoid them.
Reason #1: Your GPS Tracker or Security System Was Disabled
Suppose your insurance policy requires a GPS tracker or any specific anti-theft measure, and it’s found that the system was off at the time of the incident. In that case, your car insurance claim may be rejected, even if your vehicle was indeed stolen or damaged.
Why does this lead to rejection?
Insurers consider it your responsibility to keep all security systems active. It may be regarded as negligence to disable them or to ignore them.
How to stay away from it:
- Make sure your Prohori GPS tracker is always online and operational.
- Use the mobile app to check its status frequently.
- To be notified if the tracker is removed or turned off, enable tamper alarms.
Your GPS serves as evidence that you have taken the proper precautions to protect your vehicle, in addition to being a tracking tool.
Reason #2: Delay in Reporting the Incident
It’s easy to get overwhelmed after an accident or theft. But if you take too long to file your claim, the insurer might use that delay as a reason to deny your request.
Why does this lead to rejection?
Claims must be reported within 24 to 72 hours, according to most policies. Investigative difficulties or suspicions may arise from delayed reporting.
How to stay away from it:
- Notify the insurance company and the police immediately about any incidents that occur.
- To demonstrate the time and location of the incident, use your Prohori GPS logs.
- All correspondence should be documented in writing.
Speed is significant when filing a claim, in addition to being on the road.
Reason #3: Incomplete or Inaccurate Information
You might think it’s no big deal to round off your speed or skip a minor detail. However, anything that doesn’t match up with the insurer’s findings could cost you your claim.
Why does this lead to rejection?
Insurance claims rely on accuracy. Even a minor difference can give the impression that your case is dishonest.
How to stay away from it:
- Be truthful and thorough in your report.
- Add all pertinent papers, such as engine logs and GPS trip history.
- Verify each form one last time before submitting it.
Recall that a more substantial claim is the result of honesty plus evidence.
Reason #4: Policy Exclusions You Didn’t Know About
Many drivers never read the complete list of what their policy doesn’t cover. Activities such as driving through waterlogged roads, using your private vehicle for ridesharing, or crossing geographic boundaries can invalidate your claim.
Why does this lead to rejection?
If your damage falls under an “excluded” condition, the insurer has every right to deny it, even if the incident wasn’t your fault.
How to avoid it:
- Read the policy exclusions section carefully.
- Don’t assume you’re covered—ask your insurer if you’re unsure.
- Utilise Prohori’s geo-fencing feature to prevent entering unauthorised zones.
Insurance won’t protect you from what you didn’t read.
Reason #5: Not Enough Proof
If you don’t have enough proof to support your claim, your auto insurance claim can be denied, even if everything else is flawless. This is particularly true in cases where theft has occurred.
Why does rejection result from this?
Your claim may seem unsupported if you lack digital logs, a police record, photographs, or other supporting documentation.
Methods to avoid it:
- Take photos and videos of the scene.
- Make a police report or keep a General Diary (GD).
- Use Prohori’s tracking history and warnings as evidence.
With just a few taps, you can retrieve important data from your Prohori app that insurers value, like exact times, locations, and movement logs.
Conclusion
Although nobody anticipates having their auto insurance claim denied, it occurs more frequently than you might believe, and typically due to preventable errors. Even the smallest factors, such as a malfunctioning GPS tracker, a delayed report, or missing paperwork, can have a significant impact.
The answer? Be mindful. To ensure you won’t be caught off guard in the event of an emergency, use tools such as Prohori GPS tracking to gather evidence, monitor your car, and maintain your security systems.
Drive carefully. Be ready. Allow Prohori to assist you in safeguarding both your car and your insurance claim.
