We buy insurance to keep ourselves and our families safe from future consequences. We always believe to be in a safer zone until we have a policy. But when a claim arises we may find out the insurance we were using was not that perfect, it lacks much more to become the best insurance policy.

At that moment our mindset will be like -  'I have used this policy for 5 years, let me continue this one only, or else if I buy a new policy they will again come up with waiting periods and my existing 5 years will not be of any use.'  Let me clear you, if you think that your policy is missing the Mark to be the best then you have other options too. But before going for the other options you need to make it clear why is your policy missing the Mark, as buying the best policy analysis is a must. Check out my recent blog (Explore Before Buying Your Policy) for the analysis.

How Can You Fix It 

1. When can we port- When you want to port your insurance policy, you need to approach the new health insurer at least 45 days before the expiry of your existing health insurance policy. Once you are there, you need to fill out a proposal form for portability, details of previous year's policy copies, and then apply for portability. On receipt of the request, the new health insurer will approach the existing insurer to know you’re medical and claims history. Understanding the situation, the new health insurer can accept or reject the proposals based on the information received and the underwriting guidelines.

2. What about continuity -The company will definitely provide continuity. If in the existing company, you're a user for 5 years then, if you go to another company also you will be considered an old 5 years user only.

3. Waiting periods - Waiting periods will be removed according to your completing years in the existing policy. It means as discussed before if you are a 5 years user in XYZ company then after that you port your policy in QPR company, and QPR will cover you're all diseases from day one onwards.

When You Should Think of Portability

It might be confusing for you to decide when to go for health insurance portability and move to another policy. Therefore, to make this situation easy, you need to analyze the reason why you need to port.

1. When you start getting poor services- It might happen that your health insurance company over a period of time may not provide good services or claims. Slightly older consumers should look for a change when they are unhappy with the service/claims experience.

2. When an existing insurer is not giving you additional cover - If your existing health insurance provider is not able to provide you sufficient cover against any specific health issues which are of concern to you then in such a situation you should look at porting your policy.

3. When you get a better option from competitors - You may get a better deal in case of age caps for renewal, policy premiums, limits on room rent, or co-payment clauses, etc. Due to stiff competition, there are chances where you can avail of the same services at a cheaper premium price.

4. When transparency in insurance becomes an issue -At times there may be some hidden clause that you may not be aware of while buying the policy. However, when it comes to making claims, these clauses may become a major concern during emergencies. Therefore, in that case, you can consider shifting to a provider who is transparent in their policy documents