Can I port my insurance policy from one insurer to another?
Radha Mohan Reddy, Hyderabad
Portability is transferring an existing policy from one insurer to another. This is not possible in case of life insurance policies by way of carrying the policy benefits of an existing policy to another policy. However, it is possible in case of health insurance. Under the health insurance portability policyholders can transfer their existing health insurance policies from their current provider to another provider. This is a move by the regulator for the convenience of policyholders, who may wish to change the insurer of their existing health plans without completely discontinuing them. Policyholders who opt for portability can do so without worrying about losing any benefits accrued, having complete freedom to switch over to a better service provider.
Typically poor service standards, insufficient cover, poor claims settlement ratio by the insurer are all instances that one could consider as triggers to change an insurer. Moreover, you will be able to port between like-to-like health policies; that is the basic reimbursement to basic reimbursement or top-up to top-up. The premium and policy benefits may differ from your existing policy when you port. Most importantly, portability isn't guaranteed. The insurer may decline the proposal if it is not suitable as per its underwriting policy.
