If you’re unhappy with your current insurer or looking for better features, you have two choices: port your existing policy or buy a new one.
Both options can improve your coverage, but they work very differently.
Portability lets you switch insurers without losing benefits, while buying a new policy resets waiting periods but offers fresh terms.
At PolicyBachat, we help customers compare both options side-by-side to find the most cost-effective and benefit-rich route.
Here’s how portability differs from buying a new plan - and how to decide which option fits your needs in 2025.
Quick Comparison - Portability Vs New Policy
| Factor |
Portability |
New Policy |
| Waiting Periods |
Continued from old policy |
Start from zero |
| Pre-Existing Cover |
Retained |
Reset (2–4 years) |
| No Claim Bonus (NCB) |
Transferred |
Lost |
| Medical Tests |
May be waived |
Required for new plan |
| Premium |
Based on age & benefits |
Freshly calculated |
| Tax Benefits |
Continued |
Restarted |
| Ideal For |
Existing policyholders |
First-time buyers |
When To Choose Portability
- You have an old policy with continuous renewal history.
- You’re unhappy with claim service or limited coverage.
- You want to keep your waiting period credit & NCB.
- You found a better plan from another insurer.
Example:
If you’ve already served 3 years of PED waiting under your old policy, you don’t want to restart with 4 years again - portability protects that benefit.
When To Choose A New Policy
- Your existing plan is outdated or inadequate.
- You want to increase coverage drastically (e.g., ₹5L → ₹25L).
- You have gaps or lapses in renewal history.
- You’re buying for additional family members.
Example:
Switching from a ₹3L corporate plan to a new ₹15L family floater may be better through a new policy.
Advantages Of Portability
- Keep waiting period and NCB benefits.
- Smooth transition between insurers.
- Zero break in coverage.
- Easier claim continuity.
- Keeps premium history intact for tax & renewals.
Advantages Of New Policy
- Wider choice of plans and features.
- Fresh start with customizable add-ons.
- Option for higher coverage and new riders.
- Flexible sum insured upgrades.
Limitations Of Portability
- Must apply 45 days before renewal.
- Approval subject to new insurer’s underwriting.
- Some new features may require additional waiting.
Limitations Of New Policy
- Restart of all waiting periods.
- Pre-existing disease cover delayed.
- NCB benefits lost.
- Requires fresh documentation & medicals.
Local Insights For Hyderabad
- Percentage of customers opting for portability: 65%
- Percentage choosing a new policy instead: 35%
- Average waiting period carried forward: 2 years
- Primary reason for switching: Better coverage and benefits continuity
Cost Comparison Example
| Coverage |
Old Policy (Ported) |
New Policy |
| ₹10L |
₹9,500 (NCB retained) |
₹10,000 (NCB lost, new waiting) |
| ₹20L |
₹14,000 |
₹14,800 |
| ₹25L |
₹16,500 |
₹17,200 |
Verdict: Portability offers the same coverage at a slightly lower cost with better continuity of benefits.
Policy Continuity Benefits You Retain While Porting
- No Claim Bonus (NCB)
- Waiting period credit (PED & maternity)
- Tax deduction eligibility
- Lifetime renewability
When You Should Not Port
- Policy lapsed beyond grace period
- Frequent claim history (likely to raise new premium)
- Wanting drastic sum insured jump (prefer fresh plan)
Policybachat Portability Support
- Compare top insurers instantly
- Document & eligibility verification
- Track application and approval status
- Free Claim Assist for continuity after switch
Policybachat Tip
Portability is best when your old plan has value - new policy is better if you’re starting from scratch or upgrading to a much larger cover.
Tax Benefit Note
Whether you port or buy new, premiums are eligible under Section 80D. Porting does not reset your deduction limit.
FAQs
Can I port my policy anytime?
Only during renewal, at least 45 days before expiry.
Does portability cost extra?
No, you just pay the premium for the new plan.
Will waiting period reset after porting?
No, your previous coverage duration is credited.
Can I increase sum insured while porting?
Yes, but the extra amount may have a new waiting period.
What if my port request is rejected?
You can renew with your existing insurer instead.
Can I port a family plan?
Yes, the entire family floater can be transferred.
Can I downgrade or simplify my plan?
Yes, through portability to a smaller sum insured.
Is NCB transferable?
Yes, 100% transferable under IRDAI norms.
Does portability require medical tests?
Sometimes, based on age or claim history.
Is it better to port or buy new?
Port if you want continuity; buy new for upgrades.
Customer Reviews
- “Ported from Star to HDFC ERGO - retained my NCB!” - Ravi Menon, Delhi
- “PolicyBachat made my switch smooth and transparent.” - Sneha Iyer, Mumbai
- “Saved waiting time and got better coverage.” - Vikram Desai, Bengaluru
- “Perfect comparison before renewal.” - Ananya Sharma, Kochi
- “No break in policy - very professional team.” - Rajesh Rao, Chennai
- “Loved how they explained portability vs new policy clearly.” - Kavya Nair, Hyderabad
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