Portability allows you to switch from one insurer to another without making you lose your waiting period benefits earned by you in your existing policy. The waiting period is generally classified into three types:
- General waiting period
- Waiting period for pre-existing diseases
- Anytime bound exclusion (2 years waiting period for listed conditions)
for example, if you own a health insurance (X), which has a waiting period of 4 years (for a pre-existing disease) and you want to switch from X (with whom you have been insured for 3 years) to Max Bupa, then you just need to serve one more year of waiting period, to avail the benefit of pre-existing diseases with Max Bupa.