What Is Portability In Health Insurance Plans?
Updated On Sep 05, 2022
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People frequently experience dissatisfaction, thus it shouldn't be shocking if policyholders are dissatisfied with their policies or the services provided to them. The concept of Health Insurance Portability was developed by the Insurance Regulatory and Development Authority of India.
Through the option of health insurance portability, a policyholder can switch their current insurance provider in order to receive better services or perhaps a better health insurance plan from a different insurance provider.
What Is Portable Health Insurance?
A portable health insurance coverage gives you the freedom to leave the insurer with whom you initially purchased the policy behind. You can be searching for better services, rates, or coverage. And if you discover another health insurance provider that provides you with these features, you can switch.
Rules Governing Portability of Insurance in India
Before choosing health insurance portability, it is important to keep in mind the rules established by the Insurance Regulatory and Development Authority of India:
Like-to-like or similar health insurance are the only ones that can be transferred from one basic reimbursement plan to another basic reimbursement plan or from one top-up plan to another top-up plan, therefore policyholders should keep this in mind.
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Policy Type
You can migrate individual or family policies. Health insurance portability is only allowed during a current policy's renewal stages. During other times, people cannot port their insurance.
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Notice to Insurer
If a person chooses health insurance portability, they must notify their existing insurance provider in writing of their decision, along with the name of the business they desire to transfer their policy to. 45 days before the expiration of their current coverage, this should be done.
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Renewal
Policyholders must renew their coverage continuously. Policy delays caused by an insurer will not be considered a discontinuity, and portability will still be possible.
Acknowledgement - Within three days, insurers must recognise portability applications.
Here are the specifics on how to complete the procedure if you believe that health insurance portability is a great option for you and you're asking how to move my health insurance policy:
Phase 1: To start the process, you might need to fill out the IRDA portability form. It should be noted that when the insurance is up for renewal, the policyholder can start a portability request. You must speak with the insurance provider where you want to transfer your current health insurance.
Phase 2: Your new insurance provider will contact your former insurer to request your medical records and other pertinent information once you have completed all the required paperwork and sent it to them.
Phase 3: After receiving all the necessary information, the new insurance provider will decide whether or not to provide you a health insurance policy. This is referred to as policy underwriting. When deciding whether to offer you health insurance, an underwriter will examine the information pertaining to you and take your risk profile into account.
Health Insurance Portability Benefits
Following are some benefits that become available to you when you choose to port your insurance plan -
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Customised Coverage
Portability enables policyholders to adapt their coverage to meet their current medical needs. Depending on how one's lifestyle has changed, they can add new nominees or choose an additional cover.
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New Sum Insured
In the event that a policy is portable, the current Sum Insured is multiplied by the Accrued Bonus to determine the new Sum Insured.
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No Time-Bound Exclusions
People do not need to be concerned about any time-bound limits while choosing portability.
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Lower Premiums
As a result of the increased competition, businesses are more ready to offer their current benefits at lower premiums, giving policyholders the chance to save money.
Better service - Policyholders might choose a health insurance company that has a reputation for providing exemplary customer service.
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Better Claim Resolution
Policyholders may find their current provider's claim resolution procedure to be delayed and onerous. With portability, they have the choice to switch to a business that offers superior claim settlements.
Conclusion
It is advised to review the features, coverage, and benefits provided by the new policy before making the final decision. Know how the two policies differ from one another in terms of premiums, entry age requirements, renewal limits, sub-limits, capping, waiting periods, co-payments, hospital networks, etc.
Also Read:
Detailed Comparison Between Family Health Plan & Individual Health Plan
