Free Look Period for Health Insurance

The Free Look Period is the window during which the individual may review the policy and return the policy if he/she is unsatisfied with its terms and conditions. It is considered as the grace period during which the policyholder can revisit his/her coverage and make an appropriate decision. Insurance companies are bound by law to offer a Free Look Period.

Here is all you need to know about the Free Look Period:

• Duration: The duration of the free look period is usually 15 days

• Time Limitation: The free look period begins on the day you receive your policy; therefore, it is essential to note this date and save proof of receipt.

• Request for availing free look period: In some cases, a specific request needs to be submitted to the insurance company at the time of purchasing the policy that you would like to avail this service.

To make the most of this service, here is what you must remember:

• Provide accurate contact information in the form: It is essential to ensure that your contact details are correct in the policy documentation. During a welcome call, you can clarify your doubts regarding the policy. If you believe you have been misled, you can ask for the cancellation of the policy right away.

• Submit a timely request: The 15-day free look period starts when you receive your policy. It is essential to preserve proof of this receipt and apply for a cancellation within the stipulated 15-day period. The envelope in which you receive the policy document acts as the proof as it has the delivery date.

• Keep documentation ready: You will be required to submit the original policy along with a cancelled cheque if you decide to cancel your new policy.

• Cancel policy directly through insurance company: Once you have decided to cancel the policy, it is important to approach the company directly through customer care. Using an agent can cause unnecessary delay in the process.

• Expect refund after deduction of charges: The insurance company will issue a refund after deducting charges for stamp duty and proportionate risk premium for the coverage period. Therefore, you may not get a full refund even during the free look period.