Health Policy Portability: All You Need to Know

Health Policy Portability: Are you dissatisfied with your health insurance provider? Maybe you’re paying high premiums but not receiving good value. Perhaps the customer service was poor, or you faced issues with claim settlement. If so, it may be time to consider health insurance portability — a feature that allows you to change your insurer without losing the benefits you’ve already earned.

In this comprehensive guide, we’ll walk you through the key points of porting your health insurance policy, including timelines, benefits retained, what the new insurer can change, and critical precautions before switching.

What Is Health Insurance Portability?

Health insurance portability refers to the ability to transfer your existing health policy from one insurer to another — without losing accrued benefits such as:

• No Claim Bonus (NCB)
• Waiting period credits for pre-existing illnesses
• Coverage for already-declared health conditions

This ensures policyholders aren’t penalized for switching providers — and helps them access better coverage, better customer service, or better premium terms.

Can the New Insurer Reject My Portability Request?

Yes. Porting is not automatically guaranteed. The new insurer has full discretion to approve or reject your porting request based on their underwriting criteria.

Common reasons for rejection:

• Frequent past claims
• Undisclosed medical conditions
• Advanced age or high-risk health profile

“If there is a history of frequent claims or undisclosed medical conditions, the insurer may decline the request,” explains Suman Pal, Chief Claims Officer, Onsurity.

When Should You Start the Porting Process?

As per IRDAI guidelines, porting must be initiated at least 30 days before the policy renewal date but not more than 60 days before.

“Start the porting process 30–45 days in advance of your renewal to ensure a smooth transition,” recommends Pal.

Even if you apply closer to the renewal date (e.g., within 15 days), it’s up to the insurer’s discretion whether to process it.

Are There Any Charges for Porting My Policy?

No hidden charges are allowed under IRDAI rules. However, you may be asked to:

• Pay for fresh medical tests
• Pay adjusted premiums based on your age, medical profile, or if you increase coverage

“Premium changes are transparent and typically based on your health status, age, and selected coverage. There are no porting charges, just standard policy costs,” says Ashish Yadav, Head of Product & Operations at ManipalCigna.

What Benefits Are Carried Over?

Retained During Porting:

• Sum insured (base)
• No Claim Bonus (NCB)
• Waiting periods already completed

Not Retained Automatically:

• Add-on riders (e.g., maternity, critical illness)
• Discounts, loyalty bonuses, or network hospital access
• Previous co-pay or sub-limit clauses

“Only standard policy benefits like NCB and waiting period credits are portable. Riders and non-standard features depend entirely on the new insurer’s product design,” clarifies Yadav.

“Each insurer defines their own co-pay, room rent limits, and sub-limits. Don’t assume these will be similar,” adds Arti Mulik, CTO, Universal Sompo General Insurance.

Is Porting Easier for Long-Term Policyholders?

Yes. If you’ve been covered continuously for 4 years or more, porting becomes smoother.

• You won’t need fresh underwriting
• Applies only to your existing sum insured
• For increased coverage, fresh underwriting and waiting periods may apply

“Policyholders with long uninterrupted coverage can port without new health checks — but only for the original sum insured,” notes Pal.

What Happens to Waiting Periods?

Under IRDAI’s April 2024 rules:

• Maximum waiting period for pre-existing diseases and listed conditions: 36 months
• If you’ve served part of the waiting period under your old insurer, the remaining period is adjusted by the new insurer

Example:

If your previous plan had a 36-month cataract waiting period and you’ve completed 24 months, the remaining 12 months is carried forward with the new plan. However, this only applies to the same sum insured — any increase in coverage will require a fresh waiting period.

Key Precautions Before Porting

Before switching, compare not just premiums, but also:

• Room rent limits
• Co-pay clauses
• Disease-specific sub-limits
• Hospital network
• Add-on availability
• Claim settlement ratio of the new insurer

A seemingly cheaper policy may come with hidden restrictions, reduced coverage, or stricter sub-limits.

Final Takeaways

• Apply for porting 30–45 days before renewal
• No charges for porting, but premiums may be adjusted
• Long-term policyholders enjoy easier porting
• Riders and perks from your old insurer usually don’t transfer
• Always compare full benefits, not just premiums
• The new insurer can reject your request based on risk profile

Frequently Asked Questions (FAQs)

1. Can I switch to a new insurer mid-policy?

No, porting is allowed only at the time of renewal.

2. Can I carry my no-claim bonus to the new policy?

Yes, the NCB is portable.

3. What happens if I increase my sum insured while porting?

Only the additional amount will have a new waiting period and underwriting.

4. Will I get the same add-on covers?

No. You need to re-apply for riders with the new insurer.

5. Is porting available for group health insurance?

Yes, group policyholders may migrate to individual plans. Specific conditions apply.

Conclusion

Health insurance portability empowers policyholders to choose better service and benefits without losing existing protections. However, porting should be done with due diligence — always review coverage details, waiting periods, co-pay clauses, and compare insurers thoroughly.

Switch smartly. Retain your benefits. Upgrade your coverage.

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