The act of an individual or organization protecting themselves against a financial loss is called insurance.Insurance is a form of risk management that indemnifies the individual or company from a certain loss.The selling of insurance is undertaken by a company or legal entity called the insurer or the insurance company.The policy holder or insured is the person or company that buys the insurance from the insurer.The transaction between the insurance company and the insured is that in the event the loss occurs, the insurance company will compensate the insured with the insured having paid the required premiums.
Upon agreement, the policy holder is issued with an insurance policy which contains the details and conditions of compensation by the insurance company.The insured sends a formal request called insurance claim asking for payment from the insurance company as entitled in the insurance policy.Thus the insurer will review the formal request and then approve the payment.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. To prevent the individual or company from paying huge bill that may lead to financial damages is the purpose of the health insurance claim.In the United States most hospitals have automated insurance claims thus the patient does not need to file a claim when they get to the hospital.The hospital thus will get paid for the claim by the insurance company.
The health insurance and the property insurance are very different from each other.The policy holder is the one who files for the claim in the property insurance claim unlike in the health insurance claim.The representative of the insurance company or the adjuster will then receive the call or email from the policy holder.Once they call the adjuster they make a report of the damages to the property of the insured.The cause of the damage and the extent of the damages are then investigated by the adjuster.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.
Unlike the other insurance claims, this one is filed by the beneficiaries of the insured.The beneficiaries or claimant must take a written notification of death to the insurance company as soon as the policy holders passes on. The presenting of the written intimation is to allow the insurance company to begin the compensation process.The details included in the written intimation are the name of the claimant, the date of death, the cause of death and the policy holder details.The claimant is also supposed to deliver the death certificate of the insured, medical documents in case the insured was admitted in a hospital and the policy document.