Insurance is bought reactively, one policy at a time, usually at the moment something was purchased. Nobody ever sits down and looks at the whole set together, which is how households end up paying twice for one thing and nothing at all for another.
An afternoon fixes it. Gather every policy first, then work through them.
Start with the duplication
This is the fastest money on the table, so do it first.
Breakdown cover. Frequently included with a packaged bank account, some credit cards, a new car warranty or a car insurance policy. Households paying separately for it is extremely common.
Travel insurance. Also often bundled with a packaged bank account. Check the age limits and medical conditions, since bundled cover is usually more restrictive, but if it is adequate then a separate annual policy is wasted money.
Mobile phone insurance. Often duplicated by contents cover, a bank account or the card you bought the phone with.
Extended warranties. Rarely good value, and consumer rights already give you protection against goods that were faulty when sold.
Gadget and appliance cover. Check whether contents insurance already covers it.
Then check the underinsurance
Less enjoyable and considerably more important.
Buildings. The sum insured should be the rebuild cost, not the market value. Construction costs have risen sharply, so a figure set several years ago is likely short. Underinsurance can reduce a claim proportionally, meaning a partial loss is only partly paid.
Contents. Most people substantially underestimate. Walk each room and add it up honestly, then check the single item limit, which is usually lower than people assume. Jewellery, bikes, instruments and cameras generally need specifying individually.
Life cover. Compare the sum assured against the mortgage plus what the household would actually need. Check it is written in trust, which usually speeds payment and keeps it outside the estate for inheritance tax.
Income protection. The most commonly missing policy in Britain. Statutory sick pay is modest and does not last long. If your household could not manage on it, the gap is real.
The non-earning partner. Replacing the childcare and household work has a genuine cost and is frequently uninsured entirely.
Read the parts nobody reads
For each policy you are keeping, check three things.
The excess, since a low premium sometimes conceals a high excess. Whether the cover has changed at renewal, because insurers occasionally hold a price by reducing what is included. And the exclusions that would actually apply to you, particularly around unoccupied property, home working, business equipment and any medical condition.
Two situations that catch people
Leaving a property empty for an extended period, for instance while an estate is being administered or during a long trip, commonly voids or restricts standard buildings cover. Tell the insurer rather than assuming.
And significant home improvements usually change the rebuild cost and sometimes the risk profile. An extension that has not been declared can affect a claim on the whole building.
Write down what you decided
Record each policy, the insurer, the number, what it covers, what it costs and when it renews. Put it somewhere your household could find it.
This is more consequential than it sounds. Unclaimed life insurance is one of the more common losses when someone dies, purely because the family did not know the policy existed. A list solves that entirely.
Where FamilySafe fits
FamilySafe keeps every policy in one place with the documents attached and the renewal dates tracked, and lets you share it with the people who would need to claim on it. So the review you did this afternoon is still working in five years, for you and for them.
This is general information, not insurance or financial advice. Speak to a regulated broker or adviser about your own cover.
