Health Insurance Portability
Health insurance portability means a policyholder will be allowed to change his health insurance company without losing any accrued benefits. It will be applicable w.e.f July 1, 2011. It is beneficial in below situations-
For people with pre-existing diseases.
For such people who will be compelled to continue with present company due to the loss of bonus.
For such people who are moving to other place and their insurance company doesn’t work over there.
How does Health Insurance Portability will affect?
Empowering the policyholder with all rights, portability will assign special rights to an individual. A policyholder can change health policy whenever he/she is not satisfied with present health insurer. Usually policies are sold for one year and at the end of period, you need to renew your health policy. After the introduction of portability feature, health companies will come out with lucrative offers and better services to retain their customers. The number of policies which an insurance company can retain, reflect customer satisfaction and trust.
How to get a Health Insurance Policy?
The policyholder has to apply in the same manner as he/she is applying for a fresh policy.
The proposal form will come along with a portability section. It is necessary to give information about previous continuous coverage.
The company will carried out underwriting process to assess the risks of the proposal.
If the Insurance Company will accept the proposal, the policyholder will get relief for waiting period, which he/she has already gone through in the previous policy. For example, Mr. Shayam has been continuously renewing policy for last 6 years with ABC Insurance company and now wants to port to XYZ Insurance Company which has a waiting period of 6 years for specified diseases. New company will offer waiving period of 6 years for disease.
Important Points
Applicable from July 1, 2011.
The waiting period of previous policy will also be considered.
All policy records should be submitted by old insurance company within 7 days.
Assured sum should be equal to the previous insurance policy. The policyholder can also apply for an increased assured sum in the new insurance policy. In such case he will get relief in waiting period only to the extent of assured sum. For example, Mr. Ram has a policy been continuously renewed for last 4 years and has Rs 5 Lakh as assured sum. Now Mr. Ram wants to port the policy with another insurance company for an assured sum of Rs. 7 lakh. The new insurance company will offer relief in waiting period to the extent of Rs 5 lakh. The waiting period on additional assured sum Rs 2 lakh would be similar to the new policy.Get the best quotes online for various plans & policies & apply for Royal Sundaram Health Insurance online and get more offers on.
A customer should file portability application at least 45 days before the expiration of the present policy. As it will give sufficient time to an insurance company to underwrite the risk and retrieve necessary information from the previous insurer.
Processing your request, Please wait....
