Claims made under travel insurance policies are declined most frequently, with more than one in every 10 claims declined, the Financial Services Royal Commission heard yesterday.Outlining key themes in the remaining case studies this week in the Royal Commission's insurance round, counsel assisting Rowena Orr cited commission levels and claims handling as topics of interest.Motor vehicle claims and home and contents claims were declined in full at a rate of 0.27 per cent and 5.77 per cent respectively, Orr told the commissioner, Kenneth Hayne.Insurance cross-sold with vehicle finance looks a particular point of interest.Over the financial years from 2013 to 2015, "ASIC found that insurers paid more than A$600 million in upfront commissions to car yard intermediaries for the sale of add-on insurance products," Orr said."In the same period, the insurers collected $1.6 billion in premiums from those products, and paid out only $144 million in claims," she said. These products are generally sold with no financial advice or general advice only.For travel insurance claims, Orr explained that "claims were commonly denied because there was no coverage for the claimed event or item under the policy, because a specific exclusion or exception in the policy prevented the claim being covered, or because the customer was unable to prove loss or ownership of the claimed item.For motor vehicle insurance claims, claims were denied most often "because a specific exclusion in the wording of the policy prevented the claim being covered, such as where the claimed damage was found to result from lack of maintenance rather than being caused by an accident, because of non-disclosure by the claimant at the time of purchasing the policy, or because the customer did not meet a condition of the policy which related to the specific circumstances of the claim, Orr said."For home and contents insurance claims, claims were commonly denied because there was no coverage for the particular claimed event or item under the policy, or because a specific exclusion or exception in the wording of the policy prevented the claim from being covered, such as where the damage was found to be caused by wear and tear rather than by the claimed event.