Porting your health insurance policy is a great way to continue existing coverage at a lower cost. However, before you opt for it, you must understand the process and key components of porting the best health insurance in India. Also, you should consider some important factors such as the waiting period before porting your health insurance policy. The waiting period is the time between policy purchase and when you can actually make a claim. During the waiting period, you are not eligible to claim any benefits. Today, we will discuss the steps involved in porting a health insurance policy and the factors you must consider before going ahead with it.
What is porting?
Porting is the process of transferring an existing health insurance policy from one insurer to another without changing coverage or benefits. This allows you to retain the same coverage and benefits but at a lower cost. In addition, porting allows you to switch insurers without undergoing a medical exam or submitting additional documents to the new insurer.
While porting is a simple solution if you are unhappy with your insurance provider’s services or premium costs, you must keep a few things in mind before going ahead with it. Here’s what you must consider:
1. Check the policy type
Remember, you can only transfer the best health insurance in India from one insurer to another, and cannot change coverage, plan, or type of policy. For instance, switching from individual health insurance to family health insurance during porting is not allowed.
Therefore, it is important to check the type of policy you are porting. Is it an individual health insurance policy, a family floater plan, or group health insurance? It is important to be aware of the type of policy you have and what it covers.
To avoid unpleasant surprises, go through coverage and exclusions of the new policy. Check the co-payments, room restrictions, deductions, and sub-limits of the new plan as well.
2. Inform your prior insurer
You must let your existing insurance provider know that you intend to move your coverage before making the switch. This must be communicated in writing at least 45 days, but not less than 60 days, before the expiration of your current insurance. Also, include the details of the insurance provider you want to switch to and any other information that may be necessary. Within three days of receiving notice, your current insurance provider will acknowledge your request to port your health coverage.
When porting the best health insurance in India, it is important to notify your prior insurer in writing of your intention to close the policy. Make sure that all documents related to the process are kept safely for future reference. When you switch policies, make sure you know when the new coverage begins and ends.
3. Avoid any gaps
Your health insurance can only be transferred at the time of policy renewal. You must have new insurance in place before this time since you must notify your existing insurer at least 45 days before it expires. As a result, don’t delay porting your cover until the last minute.
Additionally, your porting request can be turned down if your policy has expired, forcing you to start over with the best health insurance in India again. Also, you will lose advantages such as waiting periods and cumulative rewards. Additionally, you risk losing protection in the event of a medical emergency.
4. Consider your age
The likelihood of health risks increases with age. It means the need for medical attention for ailments, accidents, and other diseases also goes up significantly. This can affect your medical expenses directly. So, take your age into account when transferring the health insurance policy as loading could result in you paying a considerably higher premium than your present policy. If you are over 60 years of age, the insurance company could be hesitant to approve your porting application.
5. Medical background
The new insurer may deny your request for porting if you have recently developed any medical ailments or health issues such as heart issues, diabetes, renal failure, or high blood pressure that necessitate frequent hospital visits. These conditions classify you as a high-risk individual. Also, the new insurer might ask you to undertake medical tests to check if you have developed any new medical conditions since you bought the policy. This usually happens with policyholders who are 45 years old and above. Therefore, in some circumstances, it may be preferable to continue receiving coverage from your current insurance.
In the event of an unanticipated medical emergency, health insurance is a crucial financial safety net. It enables you to receive the best medical care without having to worry about expenses and helps you secure your hard-earned savings.
But, if you are unhappy despite purchasing the best health insurance in India, you may consider changing your insurer. These days, it is extremely simple to move your health insurance policy without affecting coverage or benefits in any way.
6. Greater amount insured
Typically, when you switch your health insurance provider, your new insurer is responsible for providing you with a coverage amount that, at the very least, matches the one you had previously. It means if you had Rs 5 lakh worth of insurance coverage when you switched to the new insurer, you should still have that amount.
When transferring your insurance, you can increase your sum insured if you want. But, your new health insurance company must authorise this, and they might impose a waiting period before you can use the extra sum insured. You will, therefore, be eligible for coverage up to Rs 5 lakh during the waiting period if you increase your sum insured from Rs 5 lakh to Rs 7 lakh, and the additional Rs 2 lakh will be covered.
Switching to a new health insurance policy can be an intimidating task. Fortunately, porting your policy is a straightforward process that can help you save money and secure better coverage. Before making your decision, make sure to evaluate the different options available, compare benefits and costs, and understand the implications of porting your health insurance policy. By taking the time to research your options, you can make an informed decision that will be best for your health and financial future.
Disclaimer: The above information is for illustrative purposes only. For more details, please refer to the policy wordings and prospectus before concluding the sales.