Hi Sundar,
I think it depends on how the boshrelease you are using is set up.
If you have to change anything in the manifest / specs, then bosh will update all the old instances too because of these changes. Like if your database boshrelease does peer discovery through bosh-links or via IPs that are defined as spec.
If on the other hand you have a boshrelease where the peer discovery is done through some external means like etcd or consul, and no manifest / specs changes happen when you just increase the number of instances, then it will not update the existing vm instances, since it knows there is nothing to do.
I just confirmed it with our company-internal postgres boshrelease, while adding another slave node bosh did not update/touch the existing instances.
Regards
Fabio