Three key takeaways
- Understand the purpose of each policy before comparing premiums.
- Review gaps, payment rules and affordability together.
- Check the consequences before reducing or replacing cover.
Start with the financial risks you need to protect against, then check whether your existing policies cover them at a cost you can sustain. A lower premium alone is not a complete review.
Explore the review framework
A practical starting point
Start with the financial risks you need to protect against, then check whether your existing policies cover them at a cost you can sustain. A lower premium alone is not a complete review.
- Purpose
What financial risk is this policy addressing?
- Budget
Can you sustain the commitment if circumstances change?
- Options
What changes if you keep, adjust or replace it?
Choose the next step that fits your own circumstances.
General education. Your circumstances, documents and applicable terms determine what applies.
Give each policy a clear purpose
List what each policy is intended to do: help with hospital bills, replace income after serious illness, support dependants or build savings. Record the benefit amount, duration, exclusions and premium. Having several policies does not necessarily mean you are overinsured; they may address different needs.
Review the budget as well as the benefits
Put recurring premiums alongside essential expenses, debt payments, cash reserves and savings goals. Ask what remains affordable if income falls. Include future age-band increases where applicable rather than relying only on this year’s premium.
MoneySense encourages balancing protection and affordability. General benchmarks can start a conversation, but they do not replace a review of your household’s commitments.
Distinguish overlap from a genuine gap
Compare the events covered and the way benefits are paid. Two policies with similar names may have different definitions or payment rules. Check employer benefits too. Do not assume every overlapping benefit is wasteful, or that several policies will reimburse the same medical expense more than once.
Compare keeping, adjusting and replacing
Ask for a written explanation of what each option changes, including costs and lost benefits. For a policy with investments, separate protection from the investment component. Use the ILP review checklist to examine charges and cash flows.
Before reducing or replacing cover, understand any fresh underwriting, exclusions, waiting periods or surrender costs. A health change can affect your ability to obtain replacement cover.
Choose one manageable next step
Gather your schedules and premium notices, identify the biggest unanswered question and review that first. The outcome might be keeping useful cover, adjusting a commitment or identifying a gap. A review does not have to lead to a new purchase.
What to prepare for a review
- Policy schedules and premium notices
- Employer benefit schedule
- Essential expenses and regular commitments
- The protection or affordability question you want answered
Keep sensitive documents secure. Use the contact form to share your priorities, then agree how to provide any records needed for the review.
Sources & further reading
- MoneySense — Insurance basics
- MoneySense — Assessing your insurance needs
- MoneySense — Financial advisory process
These sources provide general background. The review questions and checklists are educational commentary. Check the current official guidance and your own documents before acting. This guide is not a personal financial or legal recommendation.
Have a question about your own plans?
Bring the relevant documents and the question you would like answered. We can start there.
Discuss my coverageOpens a WhatsApp draft. Review it before sending.