Have you ever wondered if you’re locked into your insurance policy once you’ve signed up? 

After all, life changes quickly. Your insurance needs can evolve before your policy term ends,  whether it’s a new home, a growing business, or a shift in your personal circumstances. 

You might ask: ‘Can I still change my insurance policy mid-term?’ 

The answer is yes, in most cases. 

However, there’s a bit more to it. 

Let’s look at the details clearly. 

Why Would You Need to Change Your Insurance Policy Mid-Term?

Your life or business doesn’t stay static, and your insurance shouldn’t either. 

Here are some common reasons people reach out to adjust their policies:

• Life Changes: Maybe you’ve moved to a new Sydney suburb or bought a new home.
  
  These changes can affect your Home and Contents Insurance needs.
  
  
• Business Updates: If you run a business, you might have taken on new staff, upgraded equipment, or expanded your premises, requiring tweaks to your Business Insurance, Tool Insurance, or Commercial Property Insurance.
  
  
• New Purchases: Got a shiny new car or expensive tech for your home? You’ll want to make sure these are covered.
  
  
• Budget Shifts: Changes in your finances might prompt you to adjust your premium payments or coverage levels to better suit your wallet.
  
  
• Better Options: Sometimes, new insurance products or more competitive deals become available, and you want to take advantage.

The great news is that most insurance policies in Australia allow mid-term changes, giving you flexibility to adapt your coverage as needed.

What Changes Can You Make Mid-Term?

As an insurance broker, we help clients make all sorts of mid-term adjustments. 

Here’s a rundown of the most common changes you can make:

1. Update Coverage:

• Add or remove assets, like a new vehicle or home contents.
• Adjust coverage limits, say, increasing your Home Insurance to cover a recent renovation.
• Include optional extras, such as Business Interruption cover or Flood Insurance for your property.

2. Update Personal or Business Details:

• Change your address if you’ve relocated to another place.
• Update business details, such as annual turnover or employee numbers, for commercial policies.
• Revise contact information or payment preferences.

3. Adjust Premium Payments:

• Switch between monthly and annual payments to align with your cash flow.
• Modify your excess to reduce premiums or increase coverage.

4. Add or Remove Policyholders:

• Add a new driver to your Motor Vehicle Insurance policy.

5. Cancel or Switch Policies:

• If your needs have changed significantly, you might cancel your policy or switch to a new one, though this may come with specific terms. You can get in touch with an insurance broker for clarity.

Key Things to Know Before Changing Your Policy

While mid-term changes are usually straightforward, there are a few things to keep in mind to ensure a smooth process:

• Premium Changes: Adding coverage or assets often increases your premium, while reducing coverage might lower it.
  
  Your insurer will recalculate based on such changes.
  
  
• Fees: Some insurers might charge admin fees for mid-term adjustments depending on the policy.
  
  
• Policy Terms: Check your Product Disclosure Statement (PDS) for any restrictions, especially for specialised cover (e.g., Business Liability or Flood Insurance).
  
  
• Cooling-Off Period: If you’ve recently taken out a policy, you typically have a cooling-off period to make changes or cancel without fees.
  
  
• Claims Impact: Mid-term changes could affect existing claims, so discuss this with your insurance broker to avoid complications.

How to Make Mid-Term Changes to Your Insurance Policy

Ready to update your policy? 

Take a look at this brief guide:

1. Review Your Needs: Identify what’s changed in your life or business and how it impacts your insurance.

Not sure where to start? An insurance broker can help you figure it out.

2. Get In Touch: Contact your broker or your insurer directly.

An insurance broker can help you compare options from multiple insurers to find the best solution for you.

3. Provide Details: Share accurate information, such as the value of new assets, updated business revenue, or your new address, to ensure your policy reflects your situation.

4. Check the Updated Terms: Your insurer will provide a revised policy schedule or PDS with the new terms, premiums, and any fees.

Review it carefully.

5. Confirm the Changes: Once you’re satisfied, confirm the updates, and your revised policy will take effect, often immediately or on a set date.

Why Work with Insurance Brokers for Mid-Term Changes?

Navigating insurance policies can feel overwhelming, especially with all the fine print.

That’s where insurance brokers step in.

Here’s how we can make a difference:

• We can compare the market. We search across multiple insurers to assist you in finding the best coverage and pricing for your updated needs.
  
  
• We can simplify the jargon. We explain policy terms in plain, simple English so you know exactly what you’re getting.
  
  
• We can advocate for you. If there’s an issue with your insurer, we can help you to get it resolved quickly.
  
  
• We can keep you up-to-date. Insurance products and regulations change, and we keep up with the latest options to ensure you’re getting a great deal.

FAQs about Mid-Term Insurance Changes

• Will my premium increase?
  
  It depends on the change. Adding coverage typically raises premiums, while reducing coverage may lower them.
  
  
• Can I cancel mid-term?
  
  Yes, but you might face cancellation fees, and refunds are usually prorated for the remaining term.
  
  
• How long does it usually take?
  
  Most changes are processed within a few days, though complex updates, like Business Insurance adjustments, may take longer.
  
  
• What happens if I don’t update my insurer?
  
  Failing to report significant changes, be it a new car or business expansion, could lead to denied claims or voided coverage.

Stay Covered: Adapting Your Insurance to Life’s Changes

Your insurance should adapt to your life, not the other way around. 

Whether you’re a Sydney local, a small business owner, or just starting to explore insurance, mid-term policy changes let you stay covered as your needs and risks change. 

At Tank Insurance, we’re here to guide you through the process, compare options, and ensure you’re getting the right coverage at a fair price.

Thinking about updating your insurance policy mid-term? Reach out to us, and let’s make sure your coverage keeps pace with your life or business.