Friday, January 23 2026
Source/Contribution by : NJ Publications

Health insurance is one of the most important financial protections for a family today. Medical costs are rising every year, and a good health insurance policy can save you from heavy financial stress during medical emergencies.

Many policyholders, at some point, feel unhappy with their existing health insurance company due to premium increases, service issues, claim problems, or better options available in the market. This is where Health Insurance Portability comes into the picture.

What Is Health Insurance Portability?

Health insurance portability is the facility that allows you to shift your existing health insurance policy from one insurance company to another without losing certain benefits you have already earned.

In simple words, it means:

• You can change your insurance company

• While continuing with your accumulated benefits such as waiting period for existing diseases, cumulative bonuses, etc;

What exactly is being "Ported"?

When you buy a new health policy, you usually have to serve waiting periods (e.g., 2 to 4 years for pre-existing diseases like Diabetes or Thyroid, and 2 years for specific surgeries like Cataract or Stones).

If you have already held a policy for 5 years with Company A, you have "served" these waiting periods. When you port to Company B, Company B agrees to respect that time. They will not ask you to wait another 4 years to cover your Diabetes. This transfer of "time served" is the heart of portability.

When Should You Consider Porting Your Health Insurance?

Portability is useful in certain situations. You may consider porting your policy if:

1. Poor Claim Experience

If your insurance company has:

• Delayed claims unreasonably

• Partially or fully rejected claims irrationally

• Poor customer support

then porting to a more service-oriented insurer may be beneficial.

2. Limited Hospital Network

If your insurance company does not have:

• Good and large number of network hospitals in your city

• Cashless facility in major hospitals

you may think of porting to an insurer with a wider or better network of hospitals.

3. Inadequate Coverage

If your current health insurance policy:

• Has low sum insured (risk cover amount)

• Does not offer modern treatments

• Lacks features like room rent flexibility, sublimits on certain treatments, etc;

then switching to a better-coverage policy may help.

4. Unreasonable Policy Conditions

Some old health policies have:

• Disease-wise sub-limits

• Room rent capping

• Co-payment clauses

Porting can help move to a policy with fewer or no such restrictions.

When You Should NOT Port Your Health Insurance?

Porting is not always the right decision. In many cases, staying with your existing insurer is better.

• Why You Should Not Switch for Minor Savings in premium.

In India, we love a good bargain. If Company A charges ₹25,000 and Company B charges ₹22,000, the natural instinct is to switch to save ₹3,000. This can be a dangerous mistake.

• The "Teaser" Rate: New insurers may offer low premiums to attract you. Next year or two, they might hike the premium, bringing you back to square one.

• Hidden Clauses: That cheaper policy might have "Room Rent Capping" (e.g., they only pay for a semi-private room) or a "Co-pay" (you pay 20% of every bill). Your existing policy might have been paying 100% of the bill.

• Issues in Claim Settlement: You might be saving ₹3,000 but moving to a company that has more issues in claims than your current one. Is that saving worth the risk during a medical emergency?

Golden Rule: Never port only because the premium is slightly lower. Port only if the value (features + service) is better.

• If You Have A Pre-Existing Diseases

If you already have conditions like:

• Heart disease

• Diabetes with complications

• Cancer history

• Kidney issues

In such a scenario, porting can be risky because the new insurer may reject the proposal. Or it may impose permanent co-pay or limits. Resulting in a reduced coverage.

• Planning for a medical treatment.

If you are planning: Surgery or a Hospitalization treatment in the coming days / months. Do not port your policy just before or after the treatment. Claims during such transition can become complicated.

Remember - Your old (existing) insurance company cannot deny your renewal, but a new insurer can deny your portability.

• Age Above 55 years.

Portability becomes difficult as you age. New insurers are often reluctant to take on senior citizens who might claim soon. If you have a stable policy at age 55, hold onto it tight.

• If Your Existing Policy Is Old but Comprehensive

Many old health policies can still work as good as new. There may be fewer exclusions, no sub-limits or deductions. If there are no major issues with the old policy, it should be retained.

Important Things to Keep in Mind While Porting

1. Port request should be given well in advance

Portability request must be made: At least 45 days before policy renewal. Not a few days before renewal due date. Missing this window can lead to rejection or a gap in insurance coverage.

2. Disclose All Health Information Honestly

Always disclose: All past & existing illnesses completely and correctly. Inform about past surgeries. Also provide information on current medications and lifestyle habits like alcohol / tobacco, etc; Hiding any such information can lead to a claim rejection or policy cancellation later.

3. Porting Is Not Automatic

Porting is subject to approval by the new insurer. They may accept or accept with conditions or reject.

4. Check the Sum Insured

If you have a ₹3 Lakh policy (including cumulative bonus) and porting to a ₹5 Lakh policy, the "Portability Benefits" (no waiting period) apply only to the first ₹3 Lakh. For the extra ₹2 Lakh, you still have to serve a waiting period.

5. Check the First Policy Inception Date

After the porting process is completed and you receive the new policy document, it is important to check the first policy inception date. This date should be the same as your old (previous) policy’s inception date. If it matches, everything is correct.

For example, if you bought a health insurance policy in 2022 and ported it to a new insurer in 2025, the first policy inception date on the new policy should still be 2022, not 2025.

Why Should You Always Consult Your Insurance Advisor?

A qualified insurance advisor: Understands policy benefits and its working, knows claim settlement records, evaluates long-term suitability and not just premium.

An experienced Insurance Advisor acts as your safety net. They can:

• Decode the Policy: Tell you exactly what you are losing by leaving your old insurer.

• Assess Your Risk: Tell you, "Sir/Ma'am, with your medical history, Company B will likely reject you. Let's try Company C or stay in the existing company."

• Handle the Paperwork: Portability requires strict coordination between the two insurance companies. An advisor chases them so you don't have to.

Never take a porting decision in haste or based on advertisements alone.

Final Thoughts

Health insurance Portability is a powerful right given to you. It stops insurance companies from taking you for granted. However, it is a tool that must be used with caution. It is not meant for switching unnecessarily or unreasonably.

You should port your health policy: Only when there is a genuine service or coverage issue. After understanding all the advantages, limits & conditions and after consulting your insurance advisor.

You should not port: Just because of a minor premium difference. Remember, health insurance is not about saving a few thousand rupees today-it is about protecting lakhs of rupees tomorrow.

Take informed decisions, stay insured wisely, and always prioritize coverage & service over price.