Renewing A Pre Existing Insurance VS Opting For A New One

Quality healthcare has become a matter of great concern owing to the upsurge in medical costs. The necessity of health insurance plans cannot be stressed enough in the present times. It offers us the financial backup that is often disrupted during times of medical distress. A standard health insurance plan can cover all the expenses pertaining to one’s medical care. However, one must pay the premium amount on a timely basis or within the grace period. In failing to do so one can lose their insurance. One also becomes vulnerable to a period of no coverage. Hence one should promptly renew their pre-existing medical insurance.

Depending upon the kind of plan chosen, the premium amount is paid either monthly or annually. If the insured person misses the date of payment, then the benefits of the plan are annulled. A grace period of 15-30 days is given to make the payment. This is the opportunity to resume the pre-existing medical insurance services. However, if one shows negligence even during the grace period then there is no turning back. Under such a circumstance, one is compelled to opt for a new insurance plan. Meanwhile one loses the medical benefits associated with their previous insurance.

A new insurance plan will not take into account the medical coverage for pre-existing conditions. This is one of the many demerits of buying a new plan all over again. Whereas renewing a pre-existing medical insurance within the grace period keeps all the no-claim bonuses intact. By paying the outstanding amount of premium, one can revive their pre-existing medical insurance.

There are cases when people stop paying the premium, not due to negligence but wilfully. After a couple of years, certain medical urgency might again change their mind. The preceding premium amounts need to be cleared in order to revive a lapsed term. One also has to pay the total late fee incurred in all the intervening years.

The struggle of buying a new health insurance is no less. There is no assurance given about the coverage for one’s pre-existing conditions. The hunt for a new policy involves extensive research, followed by an uncertain waiting period. Moreover, with one’s increasing age, the waiting period becomes even more indeterminate. The immediate expense of buying a new policy is definitely more than reviving the old one.

On the other hand, the innovation of technology has eased things a bit. If an individual buys the policy online then he would have to pay a lower premium than offline. Often the total cost of buying a new health insurance policy online would cost less. It should not exceed the charges included in reviving an old policy that was bought offline. However even with a new health insurance policy, one may face the same restrictions. Not all health insurance plans offer coverage for the treatment of pre-existing conditions.

It is up to the customer to decide if renewing a pre-existing medical insurance is worthwhile. Depending upon the situation, one should take a call. In any case, one has to prioritize their well-being and health requirement in the long run.


ManipalCigna Health Insurance Company Ltd (Formerly known as CignaTTK Health Insurance Company Limited) | CIN U66000MH2012PLC227948 | IRDAI Reg. No. 151 
Reg. Office: 401/402, 4th Floor, Raheja Titanium, off. Western Express Highway, Goregaon (East), Mumbai- 400 063 | Toll free number – 1800-102-4462 | Website address –
Trade Name / Trade Logo belongs to MEMG International India Private Limited and Cigna Intellectual Property Inc. and is being used by ManipalCigna Health Insurance Company Limited under license. For more details on risk factors, terms and conditions, please read the sales brochure/ sales document available on our website (Download section) before concluding a sale.

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