Switching from Group to Individual Health Insurance after Resignation

Resignation often brings a change in medical cover, as employer-provided group insurance may end with the job. Employees should therefore plan the move to a personal policy before their last working day.

Checking the coverage end date, migration options, waiting period credits and new policy terms can help make the transition smoother. Early action also reduces the chance of being left without health protection.

Confirm the Last Date of Group Cover

Before leaving the company, confirm the exact date when your group health cover will end. Check whether the same date applies to your spouse, children or other covered family members. This helps you decide when the new policy should begin.

Also ask whether a migration request must be submitted before resignation. Starting the process early may help avoid an unintended break in coverage.

Contact the Insurer before Leaving

Consider an employee whose final working day is approaching while the next job is uncertain. Instead of waiting for the employer cover to expire, the employee contacts the insurer and asks about moving to a personal health insurance plan.

This conversation should happen early enough to understand the forms, documents, medical checks and available products. The switch is not automatic, and the new policy should not be treated as active until the insurer issues it.

Check Whether Migration Is Available

Migration generally means moving to another policy with the same insurer. Under IRDAI guidance, members of group insurance policies may carry eligible credits to the migrated policy, including credits linked to the sum insured, pre-existing disease waiting periods,  no-claim bonus and the moratorium period. 

Ask the insurer which credits will transfer and how they will appear in the new schedule. Get this confirmation in writing instead of relying on a verbal discussion.

Review the New Policy Separately

The personal policy may not match the employer cover. Before accepting individual health insurance, examine the sum insured, room category, hospital network, co-payment, deductibles, sub-limits and waiting periods.

Also check whether the policy covers the spouse, children or parents previously included in the group arrangement. Some family members may need separate cover depending on their age, health and insurance needs.

Read the Customer Information Sheet

The Customer Information Sheet provides a simple policy summary. It should include the main coverage, sum insured, deductibles, waiting periods, sub-limits, claim process, renewal conditions and migration or portability details.

Use it for a quick review, but also read the complete policy wording. The full document explains the conditions that apply during claims and renewal.

Disclose Medical Details Accurately

Provide complete information about previous diagnoses, treatment, medication, tests and hospitalisation. Do not assume the insurer already has every detail from the employer’s records.

The insurer may assess the proposal under its underwriting rules. Accurate disclosure helps ensure that the issued policy reflects the information provided by the applicant.

Confirm the Start Date and Documents

Before the group cover ends, confirm the new policy’s commencement date, insured members, sum insured and transferred credits. Keep the proposal form, payment receipt, policy schedule, Customer Information Sheet and insurer communication safely.

Check the issued policy carefully and report any difference promptly. Coverage will apply according to the final policy terms and applicable regulations.

Final Thoughts

Switching after resignation requires more than buying another policy. Confirm when the employer cover ends, contact the insurer early and ask whether migration benefits are available. Review the personal policy independently, disclose medical information correctly and obtain written proof of transferred credits.

Most importantly, verify the start date before relying on the new cover. Careful checks can make the move clearer and reduce avoidable gaps in medical protection.