Claims adjusting including determining coverage, legal liability, and settling a claim may be easy process in insurer country but when deal with travel insurance, it will be difficult to get right settlement. Over settlement is lose for the insurer however under settlement mean that the insurer fails to fulfill the promises to its policyholders. Claim adjusting is integral to establishing an insurer’s relationship to its policyholders. The reputation of the insurer in settling claims directly impacts the marketing and retention of policyholder insurance. Our goals of the claim handling is complying with the contractual promises in the policy Insurer fulfills this promise by providing prompt, fair and equitable service in either paying first party claims covered under the policy or paying claims on a third party loss against the insured due to liability Insurance is marketed not only as a financial mechanism to provide indemnity on covered losses, but also to ensure peace of mind after a loss has occurred. Were it not for insurance and the claim settlement process recovery might be slow, inefficient and difficult.