A health insurance policy comes for a specified duration. The duration might be one, two or three years. When you buy the policy, you pay the premium for the duration you select. Once the specified duration is over, you need to pay the premium again to continue the coverage under the plan. This premium payment for continuous coverage is called renewal of health insurance policy.
Health insurance renewals should be done regularly after the specified duration comes to an end. Since health plans provide lifelong renewals, you can enjoy a continuous coverage even in your old age if you renew your health insurance plan on time. If you, however, don’t renew your health plan on time, you might face the following problems:
When you don’t make a claim in your health plan, you earn a no claim bonus. This bonus is cumulative in nature and you can accumulate this throughout your policy period. However, if the policy is not renewed, it lapses. In case of lapse of the policy, you lose the accumulated no claim bonus.
Pre-existing diseases are covered after a waiting period. This period reduces on each renewal. When you don’t renew the policy, the waiting period does not reduce. If you buy another policy, the waiting period clause would reapply from the start.
Non-renewal of health insurance results in loss of continued coverage. You cannot enjoy continuous coverage if the policy lapses.
When you are renewing your health insurance policy, you should be careful about some things. These things are as follows:
You should check the due date of renewal of your health insurance policy. Make sure to renew your plan within the due date. If the due date passes, you get a grace period of 30 to 120 days. Renewal during the grace period ensures continuity of renewal benefits. So, try and renew your policy either within the due date or within the grace period.
You get a cumulative bonus when you renew your policy without making a claim in the previous policy period. Check for the available cumulative bonus. Check whether the plan allows sum insured enhancement or premium discount as a no claim bonus.
At every renewal you should make sure that the sum insured of your health insurance policy is optimum. If your lifestyle needs have changed and you have added more members under the coverage, try and enhance the sum insured. Sum insured enhancements are available only at renewals. So, try and increase your sum insured level if you feel that the current level is not sufficient.
If you have a family floater health plan, check whether any family member is to be added or deleted from the coverage. In case you have a baby and want to cover your newborn or you want to include your dependent parents in the cover, you can do so at the time of renewals. Moreover, deletion of family members, like dependent parents or adult children can also be done at renewals.
The last thing to check at the time of renewals is the option of portability. Health insurance portability allows you to change health insurance plans. so, at the time of renewal, compare other available plans with your existing plan. If you find a better plan, port to it using the portability option.
You can renew your health insurance plan either online or offline. Offline renewals can be done through agents, middlemen or by visiting the insurance company offices. Online renewals, on the other hand, can be done easily using the internet. Online renewal is better as you can also compare the available plans before renewing your existing plan. Since health insurance portability is allowed, you can also switch your plan at the time of renewal if you find a better plan in the market.
Though online health insurance renewals are the best way to renew your health plan, there are some problems which many face with the online medium. These problems are as follows:
Since online renewals require online premium payments, many are uncertain about the safety of paying premiums online. That is why they hesitate to pay premiums online.
As stated earlier, you can increase or decrease the sum insured, add or delete family members and make other changes in your health plan at the time of renewals. However, many individuals do not know how to make the required changes when renewing online.
There is confusion in the minds of individuals regarding renewing their health plans online. They don’t know from where to renew and how to renew online
If individuals have any queries with their existing health insurance plan, they find it difficult to get answers online.
Turtlemint is an online platform which allows you to buy and renew health insurance plans online. If you already have a health insurance plan, you can use Turtlemint’s website for renewing your plan. You can follow the below-mentioned steps to renew your health plan through Turtlemint.
Turtlemint helps you to compare various plans before you renew. Through comparing you can opt for the best health insurance plan. The online premium payment gateway used by Turtlemint is secured and your queries are also answered by Turtlemint’s representatives. So, the online renewal process is simplified through Turtlemint’s website.
Yes, online renewals, when done through reputed websites, are completely safe. The premium payment gateways are secured and encrypted and your information also remains safe.
If timely renewal of health insurance is not done, the policy would lapse. However, a grace period is allowed after the due date. Renewal can be done during this grace period and the health insurance cover would continue without a break.
Yes, renewal can be done directly from the insurer’s website. However, when you renew directly from the insurance company’s website, you cannot compare the other available plans in the market. When you don’t compare you cannot get the best health insurance plan in the market.
Increase in premiums depends on a lot of factors. If your age bracket has changed, the premium might increase. If you opt for a higher sum insured, the premium would increase. Similarly, if you add a new family member under the family floater plan, the premium would increase. So, the increase in premium depends on the changes in the health plan at the time of renewal.
The option of porting is available only at the time of renewal. To port your existing plan, you have to make a porting request at least 45 days before the renewal date. Only if you make the request within the specified time period, you can avail the facility of porting
Yes, every time you pay a renewal premium, the premium paid qualifies for tax deduction under Section 80D. The maximum deduction which you can claim on the health insurance premium is Rs.25, 000. This limit increases to Rs.50, 000 if you are a senior citizen. Moreover, if you also pay the premiums for your dependent parents’ health insurance, you can earn an additional deduction of Rs.50, 000