While a health insurance policy can be cancelled anytime, without a waiting period, the refund you receive will depend on when you cancel the policy. Let's take a look at how to cancel a health insurance policy in detail.
‘’You don’t buy life insurance because you are going to die, but because those you love are going to live.’’
The first fifteen days of an offline policy and the initial thirty days of an online policy is known as the free-look period. If, after receiving the policy documents, you do not agree to any of the terms or conditions to the policy, you can cancel the policy within the free-look period and receive up to a hundred per cent of the policy coverage. The insurer shall only deduct the premium for the number of days you were insured and any costs for your medical tests or stamp duty incurred by them.
Once the free-look period is over, still you can cancel your health insurance policy. However, the premium refund is set on the below terms;
You can also cancel the health insurance policy anytime between six months to the validity of your health insurance policy. However, in such a case, you will not receive any refund on a health insurance policy that is six months old.
To cancel a health insurance policy, you need to first fill out the cancellation form with all your policy details and reasons for the cancellation of the policy. The steps to cancellation of a health insurance policy include;
Though every insurer has different procedures and rules, generally, the insurer refunds the premium amount paid by you after deducting administrative charges, expenses incurred by the insurer on medical expenses and premium risk covered for the time period of the insured.
While it is not wise to cancel a health insurance policy if you do have a valid reason to do so. Keep in mind the details mentioned above for the cancellation of the health insurance policy.
‘’As an athlete, I understood the value of my health insurance. I knew that in my profession, injuries were common and could happen at any time’’. – Magic Johnson
Let’s look at some frequent queries on how to cancel a health insurance policy;
Yes, a health insurance policy can be cancelled anytime; however, the refund you receive will depend on when you cancel the policy-the time period.
While it is never wise to cancel a health insurance policy and always look for solutions and alternate policies, you can still cancel the policy within the free-look period and receive up to a hundred per cent of the policy coverage, following the set terms and conditions of the policy.
Yes, you can cancel the health insurance policy anytime during the validity of your health insurance policy. However, you will not receive any refund on a health insurance policy that is more than six months old.
It is not wise to cancel a health insurance policy at any given point. If you are not happy with the policy benefits you have, getting a solution or alternative policy is a better way to go about it.