How to Claim in Case of Car Theft?

Filing a car insurance claim after the theft of the automobile is not the same as filing a claim for any other reason. Theft represents the total loss of value of the automobile and is equivalent to the complete destruction of the car in an accident causing it to be written off as scrap. While such accidents are not common, car theft in India is a lot more common.

Procedure to be followed in case of car theft claim:


The First Information Report (FIR) is indispensable as it is official proof of the fact that the car has been stolen. The insurance cover requires the car owner to take all reasonable steps to recover the lost vehicle. Filing of FIR is indispensable and no insurance claims can be filed without this document.

Intimating Regional Transport Office (RTO)

The RTO in your city should be informed of the theft of the vehicle. This will ensure the thief cannot simply transfer the vehicle to his or her name. The intimation must be done in writing and the acknowledgment must be submitted to the car insurance company.

RTO Extract of the Registration Certificate

A copy of the RC book with a formal ‘stolen endorsement’ on the same must be obtained from the RTO. This document too should be submitted to the insurer. In case the RC is held in the form of a smart card, the same must be submitted to the Insurer along with acknowledgment of the theft from RTO.

Original Car Documents

The original RC book or Smart Card, original car insurance policy document, tax invoices for the latest year, and other relevant documents related to the car must be submitted. Hand over all those documents to the insurer that a buyer of your car would have demanded. This will help avoid complications at a later date. Also, hand over the original keys of the car that are in your possession.

See: Important Questions To Ask Your Car Insurance Agent.

Dumping Yard Certificate

The thief may sell your car to a dumping yard to avoid being caught. Inform the dumping yard of the details of the car and get a confirmation from them that the car has not been dumped.

Acknowledgment from Car Loan Provider

If you are still repaying the loan obtained on the car, then you are bound to inform the lender and obtain an acknowledgment from them. You should also submit the latest loan statement to indicate the total amount due to the lender. The car insurance company will pay the insured declared value of the car to the lender to settle the loan.

You will receive the excess amount after the loan has been repaid. The lender may insist on foreclosure of the loan after the theft. Be prepared to negotiate for time.

RTO Documents for Transfer of Ownership of the Car

Fill all forms and documents transferring ownership of the car to the insurance company. The car shall belong to the insurance company if it is recovered after insurance claims have been paid out. Otherwise, you will end up enjoying the double benefits from the transaction.

Closure Report from Court

The police will investigate the loss and try to recover the car. After two to six months, the police will submit their report to the court stating that the car cannot be found and recovered. The court will pass the order and close the case. Afterward, the “No-Trace” certificate is provided which must be submitted to the insurance cover provider. The payout will be made only after this document is submitted.

Claim Form

A fully filled and properly signed claim form must also be submitted to the insurance company.

Other Documents

Proof of your identity and a copy of your driving license should be submitted to the car insurance company. You will also be required to submit a NOC for transfer of the vehicle to the insurance company along with a letter of indemnity on judicial stamp paper and a letter of subrogation on judicial stamp paper promising to compensate the insurance company for losses related to the car theft arising out of your actions or fault.

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