Post-Covid, many individuals are porting their health insurance policies as they prefer insurers that offer innovative products, have a wide network of hospitals, and have an established track record of settling claims faster. However, before porting a policyholder must assess the pros and cons and keep in mind that the new insurer can reject the request for porting for various reasons.
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For porting, you have to apply to the new insurer at least 45 days before the renewal date of the existing policy. You can transfer the credit gained by the pre-existing conditions, if the previous policy has been maintained without any break. If the premium due on a given policy is not paid on or before the premium date or within 30 days, it will be considered as a break in policy.
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Rejection of portability
If the policyholder has a pre-existing condition and does not disclose it to the new insurer, then it will reject the request for porting. Moreover, if you have not completed the waiting periods for certain treatments or conditions with the current insurer, then the new insurer may reject the request for porting. Also, some insurers have age limits for porting policies. So, if you are over the age limit set by the new insurer, it may reject your request for porting.
The proposal to port a health insurance can be rejected if the policyholder has a health condition, made several claims in the past and has provided wrong information at the time of taking the policy. Rakesh Goyal, director, Probus Insurance Broker, says the new insurer may reject request for porting if the policyholder has not disclosed pre-existing conditions, not paid premiums, policy exclusions, is over the age limit and not completed waiting periods. “It is important to be aware of these conditions to ensure that your request for porting is not rejected.”
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If the current policy has lapsed or been cancelled, the new insurer may reject the request for porting. So, ensure that your policy is active before requesting to port your policy.
What to look before porting
The premium rates of the new insurer may be different from your current insurer. So compare the premiums of the new insurer with your current insurer to ensure that you are getting the best deal.
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To guarantee that your claims are resolved quickly, it is critical to select an insurance with a high claim settlement ratio. Similarly, as insurers may have different waiting periods for certain treatments or conditions, it is crucial to check the waiting periods before porting the policy to ensure that there is no gap in coverage.
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In case of a long-term policy, if a policyholder is not satisfied with the services of the health insurance company and wants to port a multi-year policy during the term, then he will lose out on the premium paid as health insurance portability is allowed only at policy renewal.
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“If you have a preferred network of hospitals/doctors, see that they are covered by the new insurer. Also check the network hospitals of the new insurer in case you need to access healthcare services in the future.” says Goyal and adds that the policyholder must check the renewal process of the new insurer to ensure that it is easy and hassle-free. “This will help ensure that you do not face any issues with renewing your policy,” he adds.
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GROUNDS FOR REJECTION
- An existing health condition, several claims in the past and wrong information given at the time of taking the policy can go against you
- Some insurers have age limits for porting policies. So, if you are over the age limit set by the new insurer, it may reject your request for porting
