Top 10 insurance myths - busted by a broker

September 5th 2025

Let’s face it — insurance isn’t something most people look forward to discussing. It’s often seen as confusing, full of fine print, and something you only think about when things go wrong.

Insurance can be complex, and when it's misunderstood, the consequences can be significant – time lost, money waste, and peace of mind gone. At Network, were here to prevent that and work to ensure our clients have the clarity and cover they need.

So, let’s clear up some of the most common myths we hear — and set the record straight on what insurance really means for individuals, families, and businesses.

1. ‘ALL INSURANCE POLICIES ARE BASICALLY THE SAME’

Truth: No two policies are exactly alike. Even if two plans appear to cover the same thing — like home or travel — they can differ hugely in limits, exclusions, claims processes, and excess amounts. A cheap policy may exclude key protections you assume are standard.

Broker Tip: Always compare cover — not just cost. We help clients understand what’s truly included (and what’s not).

2. ‘COMPARISON SITES ALWAYS GIVE THE BEST DEALS’

Truth: While they’re a handy starting point, comparison websites only show a portion of the market. They often leave out specialist providers, don’t tailor quotes to your full situation, and focus on lowest price — not best value.

Broker Tip: Using an independent broker, such as Network, means we work with a wide range of insurers, including many not featured online, and tailor cover based on your actual needs.  

3. ‘MY INSURANCE WILL AUTOMATICALLY UPDATE AS MY LIFE CHANGES’

Truth: Insurance policies don’t evolve unless you
tell them to. If you’ve moved house, changed jobs, bought expensive items, started working from home, or added new drivers to your car — your cover might no longer reflect your needs.

Failing to update your policy could lead to reduced payouts or even claims being declined.

Broker Tip: Any big life change should trigger an insurance review. We help clients spot gaps early — before they become problems.

4. ‘MY BUSINESS IS TOO SMALL TO NEED INSURANCE’

Truth: Whether you’re a self-employed freelancer, mobile hairdresser, or online shop owner, you face risks — from data loss and theft to legal liability and client disputes. Small businesses are often the most vulnerable because they have less financial buffer.

Broker Tip: Even one claim could be devastating. Tailored, affordable cover exists for businesses of every size.

5. ‘THE INSURANCE THROUGH MY BANK OR EMPLOYER IS ENOUGH’

Truth: It might not be. These policies are often
basic, with low limits and narrow terms. For example, bank travel insurance may exclude older travellers, pre-existing conditions, or higher-risk destinations.

Broker Tip: We can review any policy you already have — free of charge — and spot any gaps before they become costly problems.

6. ‘IF I DON’T CLAIM, I’VE WASTED MY MONEY’

Truth: Insurance is not a savings plan — it’s a safety net. Just like a seatbelt, it’s there for peace of mind, not because you want to use it. And when you do need it, it can save you thousands.

Broker Tip: Think of insurance as financial resilience — not a gamble.

7. ‘MY CONTENTS INSURANCE COVERS EVERYTHING I OWN’

Truth: Not always. Most policies limit cover for valuables like jewellery, bikes, or tech unless they’re specifically listed. And many exclude accidental damage or items outside the home.

Broker Tip: We help clients audit their belongings and make sure they’re properly protected — wherever they go.

8. ‘LANDLORDS JUST NEED BUILDINGS’ INSURANCE’

Truth: Buildings’ cover is important, but not enough. Landlords may also need protection for: liability claims from tenants or visitors, loss of rental income, legal expenses & damage caused by tenants.

Broker Tip: Whether you rent out one flat or several properties, landlord insurance can be tailored to your exact portfolio.

9. ‘CYBERCRIME IS ONLY A THREAT TO BIG COMPANIES’

Truth: Actually, small businesses are often more at risk — hackers know they may lack proper security or staff training. Cyber insurance covers data breaches, ransomware, fraud, and business interruption.

Broker Tip: Policies are more affordable than you think — and essential in today’s digital-first world.

10. ‘USING A BROKER IS MORE EXPENSIVE THAN BUYING DIRECT’

Truth: Not at all. Independent brokers like Network often get exactly the same rate, or quite often exclusive rates and can help you avoid being over- or under-insured — both of which can cost you more in the long run.

And we don’t just sell you a policy — we support you throughout the policy term and at claim time. That’s something price-comparison sites simply can’t do.

Broker Tip: Our advice is impartial, and our quotes are always free. You only pay for the policy — not for guidance.

FINAL WORD

Insurance policies can be confusing, include lots of policy conditions and exclusions and no two policies are the same. Our job at Network is to make insurance simpler, clearer, and genuinely useful to you.

If it’s been more than a year since you reviewed your personal or business cover, or if you’ve recently had a big life or career change, now’s the perfect time for a review.

Let’s take the confusion out of cover — and make sure you’re properly protected, whatever life throws your way.

#withyoueverystepoftheway