15-day free-look period for people to surrender health insurance policy – IRDA

September 4, 2009 · Author: · Category: insurance 

Insurance Regulator, Insurance Regulatory and Development Authority (IRDA) now allowed a policyholder to exit from health insurance with a cover for three years or more within 15 days, which is known as free-look period.

The policyholder can exit or surrender the policy if he is not satisfied with the terms and conditions of the agreement. The regular has mentioned the aforesaid in a circular sent to all insurance companies.

The circular further mentions that the policyholder would be entitled to a refund of the premium paid, however, expenses incurred by the insurer on medical examination of the insured persons and the stamp duty charges would be deducted. In an event where risk has already commenced, such proportionate risk premium shall be calculated as commensurate with the risk covered during such period

This notification will come in effect for all policies issued or renewed on or after October 1, 2009.

IRDA has also given option to insurance companies to opt for a free-look period even for those health insurance policies with duration less than three years.

Comments

5 Responses to “15-day free-look period for people to surrender health insurance policy – IRDA”

  1. md ferdosh alam on September 18th, 2012 18:29

    recently i made a policy last week in bajaj allianz , but i am not satisfied the terms & conditions.
    How can i surrender the policy and get the full amount. please reply me.

  2. editor on September 21st, 2012 11:10

    Call the Customer Care and Tell them I’m Not interested. Ask them to Give a Reference Number for your Call & Complaint and then proceed with the actual cancellation formalities by sending back the documents etc.

  3. jaymin on August 22nd, 2013 17:48

    Hi,
    my father purchased life medical policy from SBI life insurance. a collection agent came home and took all details with Xeroxes of documents and photos.
    now when we received policy its under my name not my father’s name. we complaints to a guy and he said we cancel it and make new policy so advised us for new cheque. and my father gave him but again he issued same name with new policy. we contacted sbi and came to know my father is not eligible for this policy due to age.
    now broker agent and sbi stand their hands and force us to pay Rs,1,20,000 every year.
    in evidence we have sbi proposal form Xerox with original form…
    pls guide us what to do and how to recover money in this situation.

  4. sudhir ahire on January 20th, 2014 21:34

    I AM BIRLA SUNLIFE Life insurance vision plan,for 4 family members.one year has completed I am paying my monthly premiun regularly,but before joining policy mrs mamta singh Co.manager give me falsy promise of getting bonus after 6 month and also promise to get benefit of mediclaim of full amt from policy purchase .but no mediclaim is received for single rupee.Now I frustrated from the co.representative mamta singh.So I want to surrender my 4 policies without deducting my any single amt.Thanking u.

  5. sudhir ahire on January 20th, 2014 21:42

    I have purchased birla sunlife vision plan last year,due to some reason I want to surrender policies after one year,to received me pyt.made to co.pl.guide me to recover my hard earn money.

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