Free-Look Periods and Portability

How the free-look period lets you cancel a new policy you don't want, and how health insurance portability lets you switch insurers without losing benefits.

Indian insurance rules give customers two important rights: free-look and portability.

The free-look period

After receiving a new life or health insurance policy, you have a free-look period to review it. If you don’t like it, you can cancel and get your premium back, minus small deductions such as for medical tests and cover used.

IRDAI’s rules extended the free-look period to 30 days for new policies in 2024.

When to use it

If the policy doesn’t match what you were told.
If it’s unsuitable or too expensive.
If you were mis-sold.

Health insurance portability

Portability lets you switch your health insurance to a different insurer while keeping credit for waiting periods you’ve already served, such as for pre-existing diseases.

How to port

Apply to the new insurer before renewal, typically at least 30 to 45 days in advance, depending on rules.
The new insurer can assess your risk and may set terms, but must credit waiting periods served, up to the previous sum insured.

Why portability matters

Encourages competition among insurers.
Lets customers leave insurers with poor service.
Protects benefits built over years.

Migration

You can also migrate between policies of the same insurer while keeping benefits.

The unhappy customer

A family unhappy with slow claims at their health insurer ports to another insurer at renewal. Their four-year waiting period for a pre-existing condition, already served, carries over.

Thinking you're stuck with a policy once bought

The free-look period and portability give customers ways out.

Key takeaways

The free-look period lets you cancel new policies, extended to 30 days in 2024.
Portability lets you switch health insurers while keeping waiting period credit.
Apply for portability well before renewal.
These rights encourage competition and protect customers.