While buying a health insurance plan, you must have evaluated all the pros and cons of the plan. You would have also ensured that the health insurance policies allow for perpetual renewal. This means you can keep renewing your health insurance policies for as long as you live. What happens when you realise later that the policy you selected is not the best for you? Or if there are certain types of illnesses your existing policy doesn’t cover. Does this mean that you would be stuck with the same insurance policy for the rest of your life? Here’s the good news: No, you don’t have to remain stuck with the same insurance policy or insurance company. You can easily port your health insurance policy. In fact, there are several benefits of porting your health insurance policy. So, let’s find out more about policy portability.
What is health insurance portability?
Health insurance portability means transferring your health insurance policy from one insurance policy or provider to another without losing coverage or having to go through a waiting period for pre-existing conditions.
Why should you port your health insurance?
You may consider porting health insurance policies for the following reasons –
- Your experience during treatment or claim settlement with the existing insurance company is not satisfactory and could be the first reason you want to port your health insurance.
- The claim settlement process is too long or complicated for you.
- Reaching out to customer service during emergencies is not easy.
- The response time by the insurance provider to your queries is too long.
- Certain illnesses or treatments are not covered in your existing health insurance plan.
- The premium you are currently paying is much higher compared to what is being offered by other providers.
- The existing plan has too many restrictions or limitations, like room rent, fixed OT charges, etc.
- Your friends or family have had better experiences with other insurance companies.
What are the benefits of porting health insurance policies?
There are several benefits to port your health insurance policy:
- Better coverage or lower costs: By shopping around and comparing policies from different insurance providers, you may be able to find a policy with better coverage or lower costs than your current plan. Porting your health insurance policy allows you to switch to a new provider without losing coverage or having to start over with a new waiting period for pre-existing conditions.
- Customer service: You may prefer the customer service or claims handling procedures of a different insurance provider. Porting your health insurance policy allows you to switch to a provider that better meets your needs and preferences.
- Additional benefits: The new insurer may offer additional benefits or services that are not available with your current health insurance policies, such as telemedicine consultations, wellness programs, or discounts on health-related products and services.
- Continuity of coverage: When you port your health insurance policy, you can maintain your coverage without any interruption or loss of benefits. This means you can continue to receive medical care and access the treatments and medications you need without any gaps in coverage.
- Pre-existing condition coverage: If you have a pre-existing medical condition, porting your health insurance policies can ensure that you have coverage for that condition with your new insurance provider. The waiting period for pre-existing conditions already served with the previous insurer will be carried forward to the new policy.
What are your rights while choosing to port your policy?
The Insurance Regulatory and Development Authority of India (IRDAI) has issued certain guidelines for health insurance policies that all insurance companies must follow. This safeguards the rights of the insurer. Here are the rights as mentioned by IRDAI:
- You are free to port your health insurance (current policy) from and to any specialised or general health insurance company.
- Any individual or family floater health insurance policy can be port.
- The new insurer, the company where you are porting your policy, has to give you waiting period credit for any pre-existing conditions that you have already gained from the current insurer.
- The new insurer where the policy is being port will have to insure you for at least the existing policy amount.
- The porting has to be completed within the timeline provided by the IRDAI.
What are the conditions for policy portability?
To port your health insurance policy, you have to take care of the following aspects –
- Eligibility: To be eligible for porting your health insurance policy, you must have an existing health insurance policy with a general or health insurance company in India. You must have been continuously insured with the same insurer for a minimum period of one year, and the policy should not have lapsed or been discontinued.
- Application: You must apply for portability at least 45 days prior to the renewal date of your existing policy. You must also provide all necessary information and documents to the new insurer, including a copy of your existing policy, a declaration of good health, and any medical reports or documents if required.
- Waiting Period: The new insurer may impose a waiting period for pre-existing conditions, but the waiting period should not exceed the waiting period under your existing policy. The waiting period already served with the previous insurer must be carried forward to the new policy.
Health insurance portability helps to ensure that individuals have access to continuous health insurance coverage, even if they change jobs or experience certain life events. Note that when you port your health insurance, it doesn’t mean that premiums or deductibles will remain the same. These costs may vary depending on the new plan’s coverage and the individual’s health status. Do keep in mind that not all insurance policies are portable, and there may be certain restrictions or limitations to the portability of your policy. Before making any changes to your health insurance coverage, you must carefully review your current health insurance policies, compare options from different providers, or connect with a licensed insurance agent or broker to understand your options and any potential implications.
Disclaimer: The above information is for illustrative purposes only. For more details, please refer to the policy wordings and prospectus before concluding the sales.