Stuck with a bad health insurance? Here's how to switch
What's the story
Health insurance portability empowers policyholders to switch their existing health insurance policies from one insurer to another without forfeiting any benefits they have accumulated.
This concept was established by the Insurance Regulatory and Development Authority of India (IRDAI) to safeguard policyholders' interests and foster healthy competition among insurers.
It's a lifesaver for anyone unhappy with their current health insurance provider's services or premiums.
Rights
Know your rights and benefits
Policyholders will be able to switch insurers without losing benefits such as the waiting period served for pre-existing conditions.
For instance, if you have already served two years of the four-year wait, you will only have to serve the remaining two years after porting.
This will provide policyholders with the freedom to opt for better coverage or services.
Timing
Timing is crucial
The application for portability should be submitted at least 45 days prior to the renewal date of your existing policy but not before 60 days.
This timing is important as missing this window may lead to a lapse in your policy, leaving you without coverage until the new policy is issued and comes into effect.
Compare
Compare before you leap
Before you choose to port your health insurance policy, you should compare coverage, premium, quality of customer service, claim settlement ratio and additional benefits offered by different insurers.
Keep in mind that while you may pay a lower premium with another insurer, it might also come with less coverage or fewer benefits.
So, don't just focus on saving money. Instead, make a wise decision by doing thorough research.
Terms
Understand the terms and conditions
Although porting your health insurance policy may appear simple, it's essential to thoroughly understand the terms and conditions stipulated by both your existing and potential insurers.
Be particularly vigilant about any modifications in terms and conditions pertaining to coverage limits, exclusions, and waiting periods for particular diseases or treatments upon porting as these aspects can greatly impact your benefits after porting.
Documentation
Documentation matters
When requesting portability of your health insurance plan, make certain that all necessary documents are accurately submitted, including information about past policies spanning up to four years of continuous coverage, and any medical reports that may be needed.
Incomplete or inaccurate paperwork can stall or even invalidate the process, so it's crucial to double-check everything before submission.