How to compare insurer policy wordings
A practical method for comparing expiring and renewal wordings, or two competing insurers, so you catch every narrowed condition before your client does.
What a finished wording comparison looks like
| Clause | Expiring wording | Renewal wording | Change |
|---|---|---|---|
| Unoccupied premises | Cover reduced after 60 consecutive days unoccupied. | Cover reduced after 30 consecutive days unoccupied. Weekly inspections now a condition precedent. | Narrower |
| Theft excess | £250 each and every loss. | £500 each and every loss. | Narrower |
| Business interruption | Gross profit, 12-month indemnity period. | Gross profit, 18-month indemnity period. | Broader |
| Cyber extension | Not included. | Data restoration costs up to £25,000 included. | Broader |
| Subsidence | £1,000 excess. | £1,000 excess. | Unchanged |
Want this for your next renewal? Run your own documents — 14-day free trial, no card required.
Run your own freeA five-step method for comparing wordings
- Step 1
Line up the same versions
Get the full wording, schedule and every endorsement for both policies. A schedule alone hides most of the changes that matter.
- Step 2
Compare the insuring clauses first
Check what triggers cover: defined events vs all risks, damage definitions, and who counts as the insured.
- Step 3
Hunt for conditions precedent
Unoccupancy, security, hot works and inspection conditions can void a claim outright. Flag any that are new or tighter.
- Step 4
Check limits, inner limits and excesses
Sub-limits on theft, money, cyber or BI extensions often move quietly at renewal. Note each change in pounds, not just wording.
- Step 5
Read the exclusions and definitions together
A changed definition can widen an exclusion without the exclusion text moving. Compare them side by side.
- Step 6
Record what you told the client
Summarise material differences in plain English and keep it on file — it supports your demands and needs and your fair presentation advice.
Where brokers most often miss changes
- Endorsements issued separately from the wording and never re-read at renewal.
- Excess increases buried in the schedule rather than the wording.
- Unoccupancy periods shortened from 60 to 30 days.
- Business interruption indemnity periods or basis changed between gross profit and revenue.
- New conditions precedent on security or fire protection.
PolicyTools compares two wordings clause by clause and flags every broader, narrower and unchanged term in minutes.
£60 per user per month after a 14-day free trial with £10 of free credit. No card to start.