What must be valid for an insurer to pay a claim?

For an insurer to pay a claim, it is essential that the insurance policy is valid. A valid policy means that it has not expired, been canceled, or lapsed due to non-payment of premiums, and it remains in good standing at the time of the loss. If the policy is not valid, the insurer is not obligated to honor any claims.

While documentation of the claim, proof of loss, and payment of premiums are important elements in the claims process, the crucial factor is the validity of the policy itself. Without a valid policy, no claims can be paid, regardless of the circumstances surrounding the loss or the details provided in the claim.