{"id":1672,"date":"2026-10-21T16:04:29","date_gmt":"2026-10-21T16:04:29","guid":{"rendered":"https:\/\/www.coversure.in\/blog\/?p=1672"},"modified":"2026-10-21T16:04:29","modified_gmt":"2026-10-21T16:04:29","slug":"free-look-period-in-health-insurance-30-day-rule-refund-calculation-and-process","status":"publish","type":"post","link":"https:\/\/www.coversure.in\/blog\/health-insurance\/free-look-period-in-health-insurance-30-day-rule-refund-calculation-and-process\/","title":{"rendered":"Free Look Period in Health Insurance: 30-Day Rule, Refund Calculation and Process"},"content":{"rendered":"

What is A Free Look Period in Health Insurance?<\/b><\/h2>\n\n\n\n\n\n
AI OVERVIEW<\/span><\/th>\n<\/tr>\n<\/thead>\n
The free look period is a window after you receive a new health insurance policy during which you can review it and cancel it for any reason. IRDAI rules now give 30 days from the date you receive the policy document (physical or electronic). It applies to new policies, including multi-year policies, but generally not to renewals, portability or migration. If you cancel and no claim has been made, the insurer refunds the premium after deducting proportionate risk premium for the days you were covered, medical examination costs and stamp duty. Insurers must process free look cancellations within 7 days of the request; delays attract interest at 2% above the bank rate under IRDAI’s policyholder protection rules. Use the window to check waiting periods, co-pay, room rent limits, sub-limits and exclusions against what you were told.<\/span><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

Buyer’s remorse, but with a legal safety net<\/b><\/h3>\n

You’ve done it. After three weeks of comparing, two calls with an agent and one family debate at dinner, you’ve bought a health policy. The PDF lands in your inbox. You open it, scroll past the cover page, and on page 17 you find a 20% co-pay for your parents that nobody mentioned.<\/span><\/p>\n

In most purchases, that’s the moment you realise you should have read the terms first. In health insurance, it’s the moment a little-known rule kicks in and says: <\/span>you still can.<\/span><\/i><\/p>\n

It’s called the free look period. It’s one of the most useful consumer protections in Indian insurance, and one of the least used, mostly because people don’t open the policy document until they need to claim. This guide shows how it works, what refund to expect (with maths), and exactly what to check in those 30 days.<\/span><\/p>\n

What is the free look period?<\/b><\/h3>\n

The free look period is <\/span>a set window after you receive a new policy, during which you can review it and cancel it without giving a reason, and get a refund after limited deductions.<\/b><\/p>\n

Key facts under current IRDAI rules (<\/span>IRDAI Protection of Policyholders’ Interests<\/span><\/a> framework and the <\/span>health Master Circular, 2024<\/span><\/a>):<\/span><\/p>\n\n\n\n\n\n\n\n\n\n\n\n\n
Point<\/span><\/th>\nRule<\/span><\/th>\n<\/tr>\n<\/thead>\n
Duration<\/span><\/td>\n30 days<\/span><\/td>\n<\/tr>\n
Starts from<\/span><\/td>\nThe date you receive the policy document (physical or electronic), not the payment date<\/span><\/td>\n<\/tr>\n
Applies to<\/span><\/td>\nNew individual and family policies, including multi-year policies<\/span><\/td>\n<\/tr>\n
Generally doesn’t apply to<\/span><\/td>\nRenewals, portability, migration<\/span><\/td>\n<\/tr>\n
Reason needed?<\/span><\/td>\nNo. The insurer must accept a valid request within the window<\/span><\/td>\n<\/tr>\n
Refund deductions<\/span><\/td>\nProportionate risk premium for the covered period, medical examination costs, stamp duty<\/span><\/td>\n<\/tr>\n
Refund timeline<\/span><\/td>\nWithin 7 days of the cancellation request<\/span><\/td>\n<\/tr>\n
Delay penalty<\/span><\/td>\nInterest at 2% above the bank rate<\/span><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

For e-policies<\/b><\/h3>\n

The clock starts when the insurer delivers the policy (email, SMS link, app or portal), not when you open it. Keep the delivery email or screenshot as proof.<\/span><\/p>\n

Why it matters<\/b><\/h3>\n