Change your existing Health Insurance company with ease

In insurance parlance, transferring your mediclaim policy from one insurance company to another is called porting. Why is porting so important as far as you and me as mediclaim holders are concerned? Every mediclaim policy that we own comes with certain time benefits and time exclusions. When we port our insurance from one company to another, we need to make sure that our benefits that we have accrued over the time period stays with us. Till 2011 when we shifted our mediclaim from the present company, it would have resulted in us losing all the time exclusion benefits. But as per the IRDA circular that was issued in Feb 2011, we need not lose our privileges and benefits accumulated under our mediclaim policy if we follow the guidelines specified for porting mediclaim.

We may change our insurer due to any reason like service, cost, benefits etc. Some of the benefits that a policy holder gains over continuous coverage over years include getting your pre-existing diseases cover after 4 years, waiver of 30 days, 1 year, 2 year waiting periods,  etc.  Before 2011, when we shifted our policy, our policy inception would start from the day we shifted-meaning we would have to again wait another 4 years to get  pre-existing cover and so on. But hence forth, our policy inception date would be taken from the first  day we purchased our mediclaim, provided we have continuously renewed it.

Portability of health insurance ensures that your new insurer shall allow for credit gained by the insured for pre-existing condition(s) in terms of waiting period.

This applies not only when you move from one insurer to another but also from one plan to another with the same insurer. Your new insurer has to insure you at least up to the sum insured under the old policy and cannot reduce your current sum insured. And you can port from any insurance company to another and you can port any type of mediclaim policy.

So how do you port? You can port the policy only at the juncture of renewal. No mid year porting is allowed by IRDA. Apart from the waiting period credit and the minimum Sum Insured as per your current policy, all other terms of the new policy including the premium are at the discretion of the new insurance company. At least 45 days before your renewal is due, you have to approach  your old insurance company requesting a shift, specify the company to which you want to shift the policy, and renew your policy without a break. There is a 30 day grace period if porting is under process, however no break renewal is most preferred.

So the next time you are unhappy with the service you get for your mediclaim, port happily!

For reading the full circular and details please check here