How often should I review my trauma insurance coverage?

A review every 3 to 5 years is a reasonable rhythm, with extra reviews triggered by major life events such as a new mortgage, a child, a salary change, or a relationship change. Reviews catch under-insurance, over-insurance, and the steady premium creep that happens on age-stepped structures.

General advice only. The structures and PDS references below are factual product information, not a personal recommendation.

Life events that should trigger a review

Family events

• Marriage, registered de facto relationship, divorce, or separation.
• Birth or adoption of a child, child starting school.
• Death of a spouse or registered partner.

Financial events

• New mortgage, refinance, or substantial paydown of existing debt.
• Significant salary increase or career change.
• Starting a business, taking on a business loan, or partner arrangement.
• Receiving an inheritance, sale of an asset, or large savings event.

Health and policy events

• A pre-existing exclusion period expiring (commonly 12 to 24 months).
• Recovery from a condition that previously prevented underwriting changes.
• Approaching the end of a level-premium term.
• Insurer product updates that change condition definitions (e.g. ClearView's 5 June 2025 PDS update changed three Trauma definitions; ClearChoice PDS).

What to check at each review

Sum insured fit

Does the sum insured still match your debts, dependants, and recovery cost expectations? Indexation lifts the sum insured each year by CPI or a floor (5 per cent on AIA and TAL, 3 per cent on Encompass, CPI-only on Zurich and ClearView), so review whether the increase still matches your actual exposure.

Premium affordability

Variable age-stepped premiums steepen sharply from your 50s. If the premium is becoming uncomfortable, evaluate whether a smaller sum insured, a shift to level, or a different structure is appropriate.

Product features

Newer panel products may have additional partial-benefit categories, updated medical definitions, or improved reinstatement and buy-back options. The trade-off is the loss of original underwriting terms, plus the cost of fresh medical underwriting at your current age and health.

Structural fit

Is Trauma still right as Stand Alone, Linked, or Attached? A new mortgage may change the case for Linked structures (which reduce the Life cover on a Trauma claim, freeing up budget) or Stand Alone (which preserves the full Life sum insured for dependants).

Why switching is not always the right move

Re-underwriting risk

Switching to a different insurer or product means new medical underwriting at your current age and health. Conditions disclosed since your original policy may now attract loadings, exclusions, or a decline.

Loss of grandfathered terms

Pre-October-2021 policies and pre-1 July 2014 super-held Trauma policies have terms no longer available on new contracts. Switching usually means losing these terms permanently.

Re-served qualifying periods

New cover restarts the 90-day qualifying period for Cancer, Heart Attack, Stroke, and Coronary Artery Bypass Surgery. Some products offer a portability clause that waives the qualifying period if you have already served it on a comparable replaced cover (OnePath OneCare PDS, 1 October 2025).

What a review with a licensed adviser typically covers

• Whether your current sum insured matches updated debts, dependants, and savings.
• Whether your premium structure (stepped, level, hybrid) is still appropriate.
• Whether a reinstatement, buy back, or indexation opt-out adjustment is warranted.
• Whether new panel products have features that justify the cost of re-underwriting.
• Whether bundled Life, TPD, and IP cover should be restructured in line with current circumstances.

Common review cadence

• Every 3 to 5 years as a baseline rhythm.
• Within 90 days of a major life or financial event.
• Annually if you are within 5 years of retirement, to manage cover-cessation timing.
• Immediately if you receive an insurer PDS update that changes a condition definition relevant to your cover.

General advice only. A licensed adviser can manage the review cadence and the decisions inside it on your behalf.