Health Insurance IRDA Guidelines: Insurance regulator IRDAI has given portability rights to insurance buyers since 2011. This option can be used by the insured person to switch his policy from the current insurance company to any other insurance company. Here are answers to some common questions to health insurance portability…

When should one choose insurance portability?

• If the policyholder is not satisfied with the service or claim settlement process of his insurance company.
• If any other company is offering better facilities, more coverage or lower premium.
• The health needs of the policyholder have changed and better coverage is available with another company to meet the new needs.

Know this also…

There is no processing fee for insurance portability. Along with this, there is no loss of benefits of the old policy. Only the waiting period for existing diseases found in the previous policy is carried forward. In such circumstances the facilities remain intact.

What should be kept in mind while porting? (Health Insurance IRDA Guidelines)

As per IRDA rules, it is necessary to initiate the portability process 45 days before the date of policy renewal. In case of refusal by the new company, you will have the option to remain with the existing insurer.

Provide complete and true information about your medical history to the new company to avoid claim rejection later.

Compare the coverage of the new and old company. Make sure the new policy covers all the benefits you need.

Choose a reliable insurance company with good claim settlement ratio and customer service.

Are there any disadvantages to porting insurance?

If you port the insurance without checking then there may be loss. Depending on your age, medical history and other risks, the premium for the same policy with the new company may also increase.

Approval of the new insurance company is necessary for portability. The new company may reject your portability application based on your medical conditions or other things.

The new company has the right/option to access your existing health insurance policy details and claim history.

Is it better to buy a new plan instead of porting?

If your existing policy is old and the waiting period for pre-existing health conditions has expired, it is better to port the policy rather than purchasing a new plan.

If your existing health insurance policy offers limited coverage, it may be beneficial to buy a new policy, but the waiting period will start afresh in the new plan.

This is also an option:

Instead of porting or buying a new plan, you can add add-ons or riders offered by the company to your existing policy and improve the existing plan by paying some additional premium.