Cutting through money jargon, one topic at a time. This week, Preeti Kulkarni explains how the moratorium clause in health insurance protects policyholders against arbitrary claim rejections. Consider this: you have held a health insurance policy for over seven years and paid your premiums regularly. Yet, when you file a claim, your insurer rejects it, alleging that you failed to disclose a pre-existing condition at the time of purchasing the policy.