Insurance is very important in today's world; with the constant increase in the cost of medical treatments and medicines a medical insurance is a must have now. Companies now offer group insurance schemes that cover all the employees under one single plan with same benefits and a fixed premium. But what would you do if you are not satisfied with the present coverage of your insurer. That is when shifting from group medical cover to personal policy becomes your best option.
However there must be some questions arising in your mind like- is a shifting like this possible? How to apply for it? What are the terms and conditions? Do benefit and coverage terms change and what about premium? Let's take a look at them one by one to give you a better clarity on the topic.
Is shifting from group medical cover to personal policy possibleYes it is possible, many insurance companies allow this, and it has gained ground all over the country now. Where many individuals prefer a single plan over group coverage, it is more convenient and also pays better than the group coverage policies. There are some rules and regulations that need to be met and followed in order to change from a normal group insurance to a personal insurance which are mentioned under the terms and conditions section of the policy.
What is the mechanism of a Group insurance and why is it import to changeIn a group insurance policy, the sum assured is for all the members insured. Say there are 5 members who are insured under the policy by paying one consolidated premium, then if one or two of the members fall ill or require a medical treatment, then it would be covered under the single policy. Now, if someone else also falls sick and the expenses cross the sum assured limit, then the amount would go from your pocket at the expense of reducing someone else's coverage.
You can, on the other hand get separate individual policies at almost the same premium which will offer you individual cover, much higher than that offered by the group policy. This way everyone gets a cover and you need not worry regarding personal expenses. Now you understand why shifting from group medical cover to personal cover is not just important but mandatory if you want a safe future for your family and yourself.
How to apply for it?The answer is simple- just approach your insurance company and tell them that you prefer a single policy over the group policy and want shifting from group medical cover to personal policy. This is done by writing an application to the company that you want to port from the group coverage to a single coverage policy. Always remember that the terms and conditions change when it comes to changing of policies so talk to your advisor very clearly, to make sure that everything that you are looking for in the new package is covered and comes under the policy.
Terms and conditions Insurance is all about terms and conditions; each and every package is unique and different from each other. Initially cancer treatment was not covered by any policy as it is very expensive but now some policies have been designed for cancer patients so you understand the level of it. Each and every policy document has an "Exclusions Page" and a Terms and Conditions column. Read that carefully and if possible ask for a brochure of the product to know more in detail about the coverage and exclusions.
Apart from this your previous group policy must have continued without any gaps for a minimum of 2 years so that you can port it easily. All your premiums should have been paid on time without fail along with your claim details as well. You need to submit it 45 days before the expiry of your group insurance policy. An application along with copies of all your medical history and age proof has to be submitted to the company and the processing takes around 15 days to complete and after you pay your premium the policy gets issued.
Do premium, benefits and coverage's change when you port
Yes they change when you are shifting from group medical cover to personal policy rather everything about your policy changes. To start with, personal coverage has a different premium than that of a normal one. What happens is once your application is accepted, you will receive a premium quote which when accepted and paid, a new policy is issued. Then comes benefits and coverage which also change as personal policies cover more diseases than the group ones and the sum insured in a personal policy is also more compared to a general group policy.
Benefits like coverage of pre-existing diseases are added which are normally not covered under group insurance policies. So it is obviously a better choice when you are thinking of shifting from group medical cover to personal cover which adds benefits and coverage, hence securing your life little more than the group policies which are good but not adequate enough to support all your needs.
Conclusion After going through the above information, you must have realised the importance of having individual medical cover rather than a group medical cover. Group cover is a good supplemental policy but the primary policy should be an individual one. Life is unpredictable, anything can happen any time so you need to prepare yourself as much as possible in the best ways possible. Insurance is indeed one of the best ways to safeguard yourself and your near and dear ones.
