When to review your Insurance and when to make changes.
In general, we take out insurance to cover ourselves from circumstances which may occur. This thinking is usually based on our current life circumstances at the time we take out the insurance: How much debt you have, how many family members depend on your income, how much money you are currently earning, the state of your mortgage and much more. These things however are often fluent throughout life. Our mortgage reduces, we have children, we take on more debt or reduce it, our income fluctuates. Life changes. Does this mean that our insurance should change with it?
Many times, the answer is yes. Unfortunately, we can sometimes just overlook our insurance and leave it alone once it's in place, thinking that everything is in order and covered. However, if your life changes and your insurance doesn't, you might find yourself lacking at claim time or having paid unnecessary premiums that could have been added to your savings instead. In a worst case scenario, some of the people depending on you might not have enough to cover what they need to get by.
Spratt Financial Services highly recommends that you take the short time to review your insurance cover with us if any of the following apply to you:
- You have a child (by birth or legal adoption) or become responsible for the care of a family member.
- You take out a new home loan or increasing an existing one.
- You gain a significant salary increase of 10% or more.
- A spouse or partner passes away.
- You get married or finalize a divorce.
- You undergo significant changes to your personal financial situation.
The good news is that if you already have insurance, there may be special events clauses in your policy which allow you to make changes to your insurance quickly and easily, with little or no paperwork involved. Even if you don't have these clauses, the Spratt Financial team can help you make the needed changes quickly and efficiently with no hassle.
We take the time regularly to review policies and make sure they still fit your unique needs and lifestyle, but we encourage you to contact us anytime something changes in your life and you want to ensure your cover still fits as it should. All aspects of our insurance service are completely free to you and we are always happy to help. Email us here, fill out our online contact form below or call us any time at 09 307 8200.