Things to Check Before Porting Health Insurance Policy
Updated On Sep 13, 2021
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Health insurance portability is when a policyholder ports their health insurance policy to another in case he/she is looking for a high level of service and benefits. While health insurance portability is a preferred choice in many cases, the following are the factors that you should keep in mind when porting your health insurance policy:
An insurance company can reject your portability request if you have a pre-existing disease or a health condition that requires hospitalisation in a short period of time. To ensure that you are not suffering from certain pre-existing conditions like diabetes or high blood pressure, the new insurance company can reject your application. Your application may also be rejected in case you have a history of heart issues, renal failure, etc, where the recurrent costs are high.
There are different types of waiting periods in a health insurance policy. These are the initial waiting period, waiting period for specific illnesses, waiting period for pre-existing conditions, etc. So, in case you wish to port your health insurance policy of 3 years, after completing 2 years, then you would not be required to complete the initial waiting period of 30 days and 2 years. Only the remaining waiting period will be applicable.
It may be alarming for your insurance provider if you apply for a high sum insured at the time of porting your policy, this is because usually, people apply for a higher sum insured when they see health emergency coming or they have made a claim in the past. Also, you will be required to complete the entire waiting period again in case you wish to increase your sum insured at the time of porting.
You must know that most health insurance companies will be reluctant to offer you health insurance coverage if you are aged old. This is because health deteriorates as you age. Also, if an insurance company offers you the required coverage, then you will be required to pay a higher premium.
Many people wish to port to a new health insurance policy due to high premiums. But when looking for a new health insurance policy with lesser premiums, they may reduce the coverage. In this case, they usually end up paying more in case of a claim as their health insurance plan does not provide them the required coverage. So, before shortlisting any health insurance policy, you must consider its premium as well as its coverage benefits.
You must note that your health insurance application may get rejected in case you provide the insurance company any wrong information or if the documents of your previous health insurance policy are not available. As per the IRDAI’s guidelines, you must make the portability request at least 45 days before the policy renewal date of the existing policy. So, it is recommended to initiate the process in advance to avoid any hassle.
Keeping all the considerations in mind, health insurance portability is recommended for people aged less than 45 years without any claim history. Whereas for people aged more than 45 years having health conditions, it is advised that they should continue the cover with their existing health insurance policy and ask the insurance company to enhance the coverage.
Disclaimer: This article is issued in the general public interest and meant for general information purposes only. Readers are advised not to rely on the contents of the article as conclusive in nature and should research further or consult an expert in this regard.