What Can Get Your Health Insurance Claims Get Rejected & What to do After That

Close up of man filling in medical insurance form

Health insurance is a vital financial safety net that provides peace of mind and access to quality healthcare. However, the process of filing a claim and subsequently facing a rejection can be daunting and frustrating. Let us discuss in detail about the various causes of health insurance claim rejections, shed light on common misconceptions, and offer solutions to navigate this often intricate landscape.

Health Insurance Claim Rejection

Health insurance claim rejection is a situation where an insurance company denies the claim made by a policyholder or healthcare provider for medical expenses covered under the policy. Claim rejection can be a frustrating and distressing experience for individuals seeking financial assistance with their healthcare costs. Understanding the reasons behind claim rejections is essential to prevent such occurrences and ensure a smooth claims process. Let’s explore the details of claim rejection and the common factors contributing to it:

Inaccurate or Incomplete Information

One of the primary reasons for claim rejection is the submission of inaccurate or incomplete information on the claim form. This can include errors in the policyholder’s personal details, medical information, or treatment codes. To avoid this, it’s crucial to thoroughly review and verify all information before submitting a claim.

Policy Exclusions and Limitations

Health insurance policies typically come with specific exclusions and limitations. If the medical treatment or condition falls within these exclusions, the claim will be rejected. Policyholders must be aware of the policy terms and exclusions to avoid unexpected rejections.

Waiting Period Violation

Many health insurance policies have waiting periods during which certain treatments or conditions are not covered. If a claim is made during this waiting period, it is likely to be rejected. Policyholders should familiarize themselves with these waiting periods and plan their medical treatments accordingly.

Non-Disclosure of Pre-Existing Conditions

Failure to disclose pre-existing medical conditions during the policy application can result in claim rejection. It’s crucial to provide accurate information about your medical history when purchasing a policy to prevent disputes later.

Incorrect Treatment Codes

Medical treatments and procedures are assigned specific codes for billing purposes. If the treatment code used on the claim form does not match the actual treatment received, the claim may be rejected. Ensuring that the treatment codes are accurate and up-to-date is essential.

Non-Adherence to Policy Terms

Some insurance policies have specific terms and conditions that policyholders must adhere to. For instance, seeking treatment at non-network hospitals when the policy specifies network hospitals can lead to claim rejection. Always follow the guidelines outlined in your policy.

Late Filing of Claims

Most insurance policies have a set time frame within which claims must be filed. Filing a claim beyond this period can result in rejection. It’s crucial to initiate the claim process promptly after receiving medical treatment.

Lack of Proper Documentation

Inadequate documentation to support the claim can lead to rejection. Policyholders should maintain comprehensive records of medical expenses, including bills, receipts, and medical reports, to provide evidence when necessary.

Misinterpretation of Policy Terms

Policyholders may misinterpret certain policy terms or be unaware of specific coverage details, leading to claims that do not align with policy provisions. To avoid this, it’s advisable to seek clarification from the insurance provider or a knowledgeable insurance expert.

Claim Fraud

Intentional misrepresentation or fraud in the claim can result in immediate rejection and legal consequences. It is essential always to provide truthful and accurate information when submitting a claim.

Claim Processing Errors

Sometimes, claim rejections occur due to errors made by the insurance company during the claims processing stage. It is essential to review the claim denial letter and seek clarification or appeal if you believe the rejection is erroneous.

Policy Lapses or Non-Payment of Premiums

If a policyholder’s insurance coverage has lapsed due to non-payment of premiums or other reasons, claims made during the lapsed period may be rejected. It is vital to maintain continuous coverage to ensure claim eligibility.

Understanding these common reasons for claim rejections empowers policyholders to take proactive measures to prevent them. It’s crucial to thoroughly review your policy terms, maintain accurate records, adhere to policy guidelines, and promptly file claims to ensure a smooth and successful claims process. In cases of unjustified rejections, policyholders can seek assistance and appeal the decision with their insurance provider.

What to do in case of Claim Rejections

Facing a health insurance claim rejection can be a disheartening experience, but it’s essential to remember that it’s not the end of the road. There are steps you can take to address the rejection and potentially have it overturned. Here’s a detailed guide on what to do if your health insurance claim gets rejected in India:

Review the Rejection Letter

When you receive a claim rejection, carefully review the rejection letter provided by your insurance company. This letter should explain the reason(s) for the rejection, including any specific policy clauses or terms cited.

Understand the Reason for Rejection

To effectively challenge the rejection, you need to understand why it occurred. Common reasons include incorrect information, policy exclusions, non-disclosure of pre-existing conditions, waiting period violations, or documentation errors.

Consult Your Policy Document

Refer to your health insurance policy document to verify whether the rejection reason provided by the insurer aligns with the terms and conditions outlined in your policy. Ensure you understand the policy’s coverage limits, exclusions, and waiting periods.

Contact Your Insurance Company

Contact your insurance company’s customer service or claims department to seek clarification on the rejection. Ask for detailed information on why your claim was denied and request any additional documents or information they may need to reconsider your claim.

Correct Errors and Resubmit

If the rejection was due to inaccuracies or missing information on the claim form, correct these errors and resubmit your claim with the necessary documentation. Ensure that all information is accurate and complete.

Appeal the Decision

If you believe the rejection is unjustified, you have the right to appeal the decision. Most insurance companies have an appeal process in place. Follow the specific appeals procedure outlined in your rejection letter or inquire with the insurance company about the process.

Provide Supporting Documentation

If your claim was rejected due to inadequate or incorrect documentation, ensure that you provide all required supporting documents with your appeal. This may include medical records, bills, and any other relevant paperwork.

Seek Expert Advice

If you encounter challenges during the appeal process or believe the rejection is unfair, consider seeking advice from a professional, such as an insurance expert or legal counsel, who specializes in health insurance claims.

Approach the Ombudsman

If your appeal is unsuccessful or you believe your insurance company is not addressing your concerns fairly, you can approach the Insurance Ombudsman. The Ombudsman is an independent authority that handles insurance-related disputes. The decision of the Ombudsman is legally binding on the insurance company.

Maintain Records

Throughout the entire process, maintain detailed records of all communication with your insurance company, which includes emails, letters, and phone calls. This documentation can be crucial if you need to escalate the matter further.

Be Persistent

Claim rejections can be a prolonged and frustrating process. It’s essential to remain persistent and advocate for your rights. Continue to follow up with your insurance company and escalate the matter if necessary.

Dealing with a health insurance claim rejection in India requires patience, persistence, and a thorough understanding of your policy and the reasons for the rejection. By following afore-mentioned steps and seeking assistance when needed, you can increase your chances of having the rejection overturned and accessing the coverage you are entitled to under your health insurance policy.


Health insurance claim rejections can be frustrating, but understanding the common causes and taking proactive steps can help policyholders avoid them. It’s crucial to be well-informed about your policy terms, maintain accurate records, and adhere to guidelines to ensure a hasell-free and successful claims process. In cases of unjust rejections, don’t hesitate to seek assistance to resolve disputes with your insurance provider.


Please enter your comment!
Please enter your name here