Mediclaim policy portability is a significant way of switching to a better insurance alternative. Though, it is essential to have the correct knowledge of all the portability guidelines in order to make your portability process uncomplicated and seamless.
Two years back, Ramesh Verma, aged 47, was advised by an insurance agent to port his health insurance policy to a new insurer as the new insurance company offered several new benefits. Ramesh got all excited and quickly submitted an application for porting mediclaim policy that he owned.
Ramesh was amazed to see the new insurer accepted his portability application just in 13 days. However, the insurance company stated that the porting of mediclaim policy would only be considered if Ramesh agrees to exclude any claims related to his heart permanently.
Ramesh, who had heart surgery just five years back, was confused as he had claimed for the same issue with his previous insurer. All his excitement went in vain, and he had to move back to his old insurer once again.
Therefore, before applying to port your health insurance policy, ensure you are familiar with all guidelines so that you too do not get trapped in such a situation.
Crucial Guidelines of the Mediclaim Policy Portability
Since you, too, do not want to get fooled like Mr. Ramesh, it is advisable to go through these essential mediclaim portability norms.
● 45 Days Notice Period
People who are applying for the portability of their online health insurance
policy must know that you need to submit an application to the new insurer at least 45 days before the expiration of their current policy. During the ongoing process, the new insurer may ask for several documents from your previous insurer, such as claim records, medical records, etc.
Often, the insurer may also ask you to get the latest medical checkup. However, if you are below age 45, they may add your policy as a non-medical-test policy and waive-off requirement for medical tests.
● Period of Acceptance by the New Insurer
Once you have submitted the portability form along with other required documents, the new insurer is liable to provide you the acceptance verdict of your application within 15 working days. If delayed, they will have to accept your application automatically.
Moreover, suppose there are other processing delays due to which your policy’s due date has approached. In that case, the new insurer has to pay a pro-rata premium to the current insurance provider.
● Underwriting Process
The underwriting process is carried out after the new insurer accepts your portability form. In case there are no claims made, the new insurer will accept the proposal at a standard premium.
However, if there are pre-existing diseases or any claim records, they may charge an additional premium stating the illness of the policyholder. Also, they are entitled to reject the application if they feel the case is not fitting their company’s guidelines or requirements.
● Waiting Period
The waiting period may be waived if the policyholder has served the maximum time period of the policy and the policy has never been broken. Also, you may have to serve an additional waiting period
if any such rules are there in the guidelines of the new insurer.
Who Should and When to Consider Mediclaim Portability?
Porting mediclaim policy is undoubtedly beneficial for many individuals. But before you switch your policy, you must consider who and when to opt for mediclaim portability:
- People below 45 years of age who have never claimed any medical expenses in their existing policy.
- People who are healthy and are unsatisfied with the services of their current insurance provider.
- If your current insurance provider has a slow claim settlement procedure.
- When your existing insurer suddenly hikes the premium amount of your policy.
Go ahead and port health insurance
to a comprehensive health insurance plan for you and your family.
Frequently Asked Questions (FAQs)
- Should I port my medical insurance if I have existing medical problems?
It is advisable not to opt for insurance portability if you already have a bad medical history.
- Do I need to pay a fee for porting a mediclaim policy?
There isn’t any fee for the health insurance portability.
Porting mediclaim policy can be a positive step for covering your medical expenses. However, before you port your health insurance policy, it is crucial that you have understood all the norms or the portability process and are sure that porting will positively affect your life and won’t give any later headaches. You may consult our insurance experts for more information on the portability issues.