After Years of Debate, Mobile Number Portability (MNP) was launched in India In 2011. It Was the Game changer for service Industry as well as for customers. It give customers to choose his Mobile network carrier without changing his Number. In the same year Mediclaim Policy Portability also introduced by IRDA. But still I see many client’s continue their mediclaim policy even they don’t happy with their insurance company or agent. Because they think they will lose the benefits OR they don’t know About Mediclaim Policy Portability and Its process. Some time I hear from client that they will get transfer benefits but not cumulative bonus which they gather till today in their old policy which is also wrong.
Recently I met one client’s friend who just port his policy from one insurer to another insurer from somewhere. When I see his policy it was not port policy its fresh policy issued by insurance company. Actually Client was unaware about process of mediclaim portability. In last 15 Years many incidence I see where because of lack of knowledge Customer suffer loss. Continuing I am trying to find topics in Insurance and investment space to write articles where I think Customers should take knowledge before taking any decisions. That Decisions which can’t undo.
In above events I decided to write this article for financial and insurance awareness. In this Article I will Explain All About Mediclaim Policy Portability And Its Process. I will also keep updating this article If any changes in process by IRDA. If still you have any queries or need help contact me here.
What Is Mediclaim Policy Portability?
Suppose, You have mediclaim policy from 2 years in one company. Now you don’t like service of your insurance company or agent or for any reason. You can change your insurance company without loss any benefit (like pre-existing conditions and time bound exclusions) at the time of renewal. Please note Break in Policy is not allowed for Portability.
How it work? Please give example.
For example you have mediclaim policy from 2 years. In your old Mediclaim Insurance company have 4 years waiting period for Joint-Replacement Operation and in your new mediclaim insurance company have also 4 years. So, After port you will have only 2 years waiting period for same. Unlike earlier when portability option was not there your mediclaim policy treated as fresh policy in new insurance company. And you have waiting period was 4 years. Here I want to say one thing if your new insurance company have 5 years waiting period for joint-replacement operation then after Port policy your will waiting period will be 3 years.
Also, if you have cumulative bonus in your old mediclaim policy, this will also transfer in you new mediclaim policy after port.
Can I Increase Sum Insured While Porting my mediclaim policy?
Yes, You can Increase Sum Insured but Portability benefits will be up to Sum insured of old policy. For Example Policy holder have policy of Rs.2 Lakhs sum insured with Rs.50,000 Cumulative Bonus. Now, If policy holder Increase sum insured to Rs. 4 Lakhs. Portability would be available only up to Rs. 2.50 Lakhs.
I have mediclaim Policy In group health insurance. Can I port Policy?
Yes. you can port your policy from Group Health Insurance to any Individual Insurance or Family Floater Health insurance policy in same insured OR to another insurer.
When I can Port My mediclaim policy?
Please Note You can only port you policy at the time of renewal only. you can apply within 45 days before renewal to new insurance company. I see some insurance company port mediclaim policy even you apply before 1 day but I suggest apply at least before 30 days. In some cases I see new Insurance company take time to accept proposal and while this time old policy expire.
Is My Mediclaim Premium Will change after port Policy?
All insurance companies have their own premium rates and conditions. After port mediclaim policy Premium rate of new insurance company will apply.
Is There any charge for portability services?
No, There is no charge.
Is there any age limit to port mediclaim policy?
No, In any age can apply to port policy.
What Is Mediclaim Policy Portability process?
After choose your new insurance and its product Fill the proposal form and Portability Form Annexure-A
On the basis Information received New insurance company will underwrite your proposal and Communicate with you their decision if they accept Or reject Portability request. Please Note If they received information from your old insurance company within time frame and they does not communication their decision to policy holder within 15 days then insurance company shall not reject such proposal and have to accept the proposal.
Final Words :-
Porting your existing mediclaim policy is very good options given IRDA. It gives pressure to insurance companies to give better service to retain policy holders but Before taking decision regarding porting your mediclaim policy, Please read all terms and conditions about you new Health Insurance Policy. I see nowadays very aggressive marketing strategies or create urgencies to sell their products. Also as per circular issued by IRDA there is no commission to agents/broker in port policies so may be possible agent not take interested to port. I advised you have take personal interest to port policy and if policy come in your hand make sure inception date of policy is old (the date where you old policy started) so it will avoid any dispute at the time of claim. if you need any Help Regarding this or any claim related you can Contact me here.