Insurance is the process taken by an individual or a company to protect themselves from a financial loss.After certain losses occurs the insurance protects the individual or the company from the loss.The insurance company is the company or legal entity that provides or sells insurance.The company or the individual that buy the insurance from the insurance company are known as policy holders or insured.The insurance agreement is that the insured will pay premiums of certain amount and the insurer will ensure that compensation is done in case of the occurrence of a loss.
Upon agreement, the policy holder is issued with an insurance policy which contains the details and conditions of compensation by the insurance company.The formal request sent by the insured to the insurer asking for payment as stated in the insurance policy is called the insurance claim.The insurance claim is then reviewed by the insurer before payment approval.The insurance company pays the insurance claim to cover the policy holder against financial losses.
There are many types of insurance claims like health insurance claim, property insurance claim and life insurance claim. The health insurance claim are usually meant to prevent individuals or groups from financial damages that may be incurred from hospital bills.The health claims in most hospitals in the United states are automated thus patient do not file claims manually.Thus the insurance company pays the hospital on behalf of the policy holder.
There is a big difference between the property insurance claim and the health insurance claim.This is because in the property insurance claim the policy holder is the one filing the claim.The insured calls or emails the representative of the insurance or an adjuster or broker.The insured then reports the damages incurred to the representative of the insurance company.The adjuster then makes a formal visit to investigate the cause and the extent of the damage.After the verification the representative makes the conclusion remarks and forwards them to the insurance company.Whether the compensation will paid fully or repairs will be made depends on the damage and the conclusion remarks by the adjuster.
The beneficiaries of the policy holder are the ones who file the life insurance claim.As soon as the policy holder passes on, the beneficiary must present a written intimation to the insurance company. This is to allow the insurance company to begin the process of compensation.The written document should include the details of the insured, cause of death, date of death and the name of the claimant.The insurance company will then receive the following documents from the claimant, the death certificate of the insured, any medical document if the insured was hospitalized and the insurance policy.