When misfortune strikes, insurance should provide relief, not additional hardship. Yet many Nigerians continue to face frustrating delays when filing insurance claims, sometimes waiting months or even years for the compensation they are entitled to.
Recent regulatory shifts are forcing insurance companies to prioritise prompt claims payments to rebuild trust in the industry. However, policyholders also have a crucial role to play to ensure their claims are processed quickly and without unnecessary disputes.
Below are practical steps every policyholder and beneficiary should know to improve the chances of a smooth claims process:
1. Understand Your Policy
Before you ever need to file a claim, take time to fully understand what your insurance policy covers and the exclusions it contains. Many claims are delayed or denied because the incident falls outside the scope of the policy, or because the policyholder was unaware of required conditions, such as using specific repair centres for auto insurance claims.
If there is any unclear section in your policy, request clarification from your insurer or your insurance broker. This will help you manage expectations and avoid unpleasant surprises during the claims process.
2. Keep Records and Documentation
Proper documentation is one of the most important factors in speeding up insurance claims.
- For life insurance, this may include a death certificate, medical reports, proof of relationship, and a valid ID.
- For motor insurance, photos of the accident scene, police reports, and repair estimates may be necessary.
- For health claims, medical bills, prescriptions, and doctor’s reports are often required.
Without these, even the most genuine claim may face delays. Always collect and safely store relevant documents to support your claims.
3. Report Claims Promptly
Insurance policies often require you to notify the insurer within a specific timeframe after an incident occurs. Delays can complicate the verification process or result in denial of your claim. Contact your insurer immediately after an incident and ask for a clear guide on the documentation and steps required.
4. Be Honest and Transparent
Insurance relies on trust, and any attempt to misrepresent facts can lead to complications. When filing a claim, provide complete and accurate information about the incident. If your insurer requests additional documents or explanations, respond promptly and truthfully. Avoid inflating the value of claims or hiding relevant facts, as this can lead to suspicion, closer scrutiny, and delays, even if your claim is valid.
5. Follow Up Regularly
After submitting your claim, maintain regular contact with your insurer to track progress. Request confirmation of receipt of your documents and ask for estimated processing timelines. Regular polite follow-ups keep your claim active and help you identify any missing information early.
6. Know Your Rights
If your insurer is unreasonably delaying or denying your claim without clear explanation, you have the right to escalate your complaint to the insurance ombudsman or the National Insurance Commission (NAICOM). Keeping records of all correspondence with your insurer will be helpful if escalation becomes necessary.
Why This Matters Now
Regulators are putting pressure on insurance companies to improve their claims settlement record. Insurers risk penalties or even licence withdrawal if they fail to pay genuine claims promptly. However, to benefit from this environment, policyholders must ensure they have fulfilled their responsibilities by:
Understanding their policy terms.
Keeping complete documentation.
Reporting claims promptly.
Being truthful and transparent.
Following up to ensure accountability.
Insurance is a promise of protection, but fulfilling that promise requires preparedness from both sides. By staying informed, organised, and transparent, you will significantly improve your chances of getting timely payouts when you need them most.
