Switching Health Insurance Policies: Keep These Things In Mind

Outlook Money

Switching health insurance policies

If one is planning to shift the current health insurance policy to a new one, the first thing to be kept in mind is whether the benefits covered in the present policy are offered by the new one also.

Retaining Benefits

Policyholders can keep the benefits accumulated when switching to a different insurer. The insurance regulator, Irdai mandates that the new insurer must honor the credit earned by the insured for pre-existing conditions regarding the waiting period.

Things to keep in mind

1. Check Available Features: Before switching to a new policy, one must review the features of the new policy to ensure they match or exceed your current coverage.

2. Transfer Bonus

When one is set to switch the policy, it is a must to transfer any accumulated cumulative bonus from the current policy to the new one to increase the sum insured without losing benefits.

3. Documentation

One should gather all necessary documents for a smooth porting process, including renewal notices and past policy details. One should also keep in mind that insurers may review medical history and require tests, particularly for high-risk conditions, which could affect portability requests.

Other things to consider

It is very important for one to obtain the portability form, wait for approval from the insurer and cancel the old policy.

Compiled by Syed Muskan

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