Selection is always good. In a globalized world, the customer has various alternatives in all, from trains to automobiles. This is why today even airlines make an announcement following the passenger’s property:”We all know you have a choice. Thank you for flying with us!”
It is rather straightforward. You have a choice – if you don’t like the product or service, switch! The same is true for health insurance policies as well. In India, people have awakened to the guarantee of health insurance, which has resulted in a proliferation of health insurance providers throughout the board. Because of this wide selection available, the policyholder does not need to abide by an insurer if they feel dissatisfied with the services.
The Insurance Regulatory and Development Authority of India (IRDA) has a publication scheme for disgruntled policyholders to switch suppliers: health insurance portability. Now, what exactly do we mean by this? Let’s elaborate. See: Group Medical Services | Health, Travel, & Group Insurance
What is health insurance portability?
Health insurance portability is the manner through which a medical insurance policyholder can transfer his/her present policies from the current provider to a new one. Portability offers a way for clients to go for better service and merchandise. This way, an insurer cannot take them for granted.
Reasons for porting
When and why should you port a medical insurance coverage to another supplier? Here are some tips to help you decide:
o Quality of Service
Should you believe the criteria of service offered by a policyholder isn’t at par with what they guaranteed while logging you in, may be it is time to move on. Many times, an insurance provider will promise the moon whilst getting a client on board at the eagerness of breaking up a bargain, but slowly, reality strikes and also the client realizes it was all hogwash. There’s no point continuing a sour relationship, right? Call GMS here.
O Improved Benefits
There might be a point when you realize the cover offered to you by your existing medical insurance provider is not adequate, and after speaking to them it appears clear that that’s the best they could do. Under the conditions, it can be wise to change to a provider that could offer the additional cover/ benefits.
There’s really no point in paying more for a service/ benefit that’s available for a much lesser price with a competing supplier. Should you feel the competition offers a better product at the lesser price, it’s time to make that change.
Health insurance policies are offered by general insurance companies as well as technical health insurance providers. When it is believed that with the current provider, the focus is more on non-health policies, then switching into a specialized health insurance carrier might fit your needs better.
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If you relocate to a new town, you want to have the very same services and pay for as before. But your current insurance provider may not have as better access or as numerous community hospitals in town. It may then make sense to vent to a supplier who has those services in your city.
o Claim Settlement
That is important. Some companies take ages to clear a claim. Before you land in such a situation, it’s important to know whether your insurer has any reputation. If that’s true, port out.
Often you will find hidden clauses and terms in the contract that the policyholder is unaware of. These hidden exemptions rear their ugly head during emergencies, and you do not know where to go. Time to move to a supplier with more transparency in their deals.
Now that we have a reasonable idea when to opt for portability, it’s also important that you be aware of the advantages. What does a policyholder profit out of it? Well, here it goes:
Benefits of portability
While porting to a different supplier, it becomes easier to customize the features to one’s specific needs and requirements. It’s possible to add nominees, go for additional coverage or benefits.
When you change your medical insurance provider, there is absolutely no reason to lose the benefits you had accrued with your previous supplier. In accordance with IRDA, your new insurance company has to supply you with the advantages accumulated with the previous insurer.
New Sum Insured
IRDA claims that your brand new insurer must ensure you at least up to the amount insured under the policy. Typically, the present sum insured is inserted to the accrued bonus to give the new sum assured. The No Claim Bonus is also added to the new amount insured.
Better support, affordable premiums, transparency Portability takes care of the inconveniences associated with your earlier health insurer, thanks to that you made the switch in the first location.
Yes, portability is a major benefit to those health insurance policyholders who are unhappy with their existing insurance provider. However, it’s also important to be aware of the requirements and standards for portability to happen.
Requirements for portability
1. The coverage can be ported only at the juncture of renewal. The new insurance interval will be together with the new company
2. Apart from waiting period charge, all of the other conditions of this new policy will be in the discretion of their new insurance company
3. The process has to be initiated by the policyholder at least 45 days prior to renewal:
O Write to your Current provider requesting a shift
O Specify the new insurance company you want to change your coverage to
O Ensure that the policy is renewed with no break (There’s a 30-day grace period if porting is under process)
In summary, if you’re disappointed with your health insurance policy, reliability is a great option that offers a refuge – if the above conditions are satisfied. Now, let us get into the most important part.
How to vent?
O Application for portability should be made at least 45 days prior to the renewal date of the Present policy, on the reliability form
O The company will then send your reliability kind and the coverage related documents
O The new insurer will take a decision on accepting the coverage within 15 days
Other documents include all prior policies, claim experience, evidence of age and many others. If any other files are required, the new insurance provider might request it.
Yet another thing!
These are some small pointers that go a long way in ensuring that the transition is smooth and also a joyful one:
1. Read all of the terms and requirements, product characteristics, brochures of this new company before deciding
2. Do understand that the new company can decide to hike the superior, at its discretion
3. Check the claim settlement ratio
4. Needless to say, check for good Customer Care and support