Some insurance policies are easier to review than others. You probably have to update your home or car insurance every year, giving you frequent chances of spotting mistakes and updating details.

Whereas life insurance cover usually lasts around 20 to 30 years - and maybe longer – making it harder to remember to update and review it. Once you’ve taken it out, it’s common to forget about it and get on with life. But as life goes on, things may have changed that you need to update on your cover.

This guide reveals some of the things that could have changed in your life that require a life cover review. Reviewing your current cover might even save you money!

When to update your life cover

What you do and do not need to update on your life cover will be determined by each individual insurer. The terms and conditions of the insurance policy you took out are likely to list when updates are required. Nevertheless, here are some of the most common reasons to update your policy:

1. Changed address – this is important because you might not be notified if your cover is changing or coming to an end.
2. Getting married – you may want to add your new spouse to your policy by changing it into a joint policy. The same applies to civil partners and de facto couples.
3. Separation – in the same breath, you may need to remove a previous partner from your policy or your nomination forms.
4. New family members – adding newborn children and grandchildren to your beneficiaries may be required. You may also want to consider covering their future education costs within the policy.
5. Switching jobs – if you earn a promotion or change jobs to receive a higher salary, you may want to amend your cover to reflect your new financial situation.  
6. Retirement –  You might want to amend your plan or switch to a whole of life plan upon retirement. However, this typically depends on individual circumstances considering your mortgage and pension.

Will updating my cover make it cheaper?

Updating your cover may make it cheaper, such as removing other insured parties (previous partners) or informing the insurer that you are no longer working in a dangerous occupation. In other times, an update may make the policy more expensive, such as adding new insured parties to the policy.

And some updates may make the policy neither more nor less expensive. An example is adding or removing a beneficiary of the life cover or updating contact information.

Forgetting to update your life cover

Remembering to update these events on your life cover is not always easy. Those big life moments are rarely dominated by administration concerns. But not updating your life cover can mean not owning the cover you think you have, and you could end up over or under-insuring yourself and your loved ones.

Forgetting to update your cover could even lead to the proceeds of the policy being left to a former partner rather than your new one.

Need life cover services?

If you require a review of your current life cover and want to know if there’s a more fitting policy for your family needs, speak with us.

The friendly team at Taylor James Financial Services recognises that life cover should be reviewed frequently to find the most appropriate and advantageous deals.  We’re waiting to help!

Please note:

• The plan will cease at the end of the term. If premiums are not maintained, then cover will lapse.