5 mistakes to avoid when buying insurance

Most insurance regret traces back to a handful of avoidable mistakes made at the time of buying. Steer clear of these five and you'll already be ahead of most policyholders.

1. Hiding or guessing on the application

Non-disclosure is the single biggest reason genuine claims get rejected. Declare your medical history, income, occupation and habits honestly — including things you might be tempted to skip. An accurate application is what makes your claim defensible later.

2. Buying too little cover to save premium

A cheap policy that doesn't cover a real hospitalisation or replace your income isn't a bargain — it's a gap waiting to be exposed. Size your cover to the risk, not just to the lowest premium.

3. Ignoring the fine print

• Waiting periods for pre-existing conditions and specific treatments.
• Room-rent limits, sub-limits and co-payments that quietly shrink payouts.
• Exclusions that list exactly what the policy won't cover.

4. Chasing price over claim record

The cheapest premium means little if the insurer is slow or stingy at claim time. Weigh the claim settlement record and turnaround alongside price — a slightly higher premium with a reliable insurer is usually money well spent.

5. Buying once and forgetting

Your life changes — marriage, children, a bigger income, a new loan — and your cover should keep pace. Review your policies every couple of years, and never let a policy lapse by missing a renewal.

Avoiding these is easier with someone in your corner. If you'd like a second opinion before you buy or renew, that's exactly what we're here for.

This guide is general information to help you understand your options, not financial or tax advice. Please consider your own circumstances and consult a qualified professional where needed.