Want your life insurance claim to go smoothly? Here's a simple thing you can control - IOL

When a life insurance claim gets declined, it's often assumed the insurer was looking for a way out. In reality, the biggest avoidable reason claims don't get paid is much simpler and much more within your control: leaving something out when you applied.

It's called non-disclosure, and while it accounts for a small slice of declined claims, it's almost entirely preventable. In 2025, Discovery Life paid 99,3% of all claims, totalling R9,1 billion. Of the small percentage that weren't paid, 0,4% were declined specifically because of non-disclosure at the underwriting stage, meaning the point when you first applied for cover. 

“While this is a small proportion, it highlights that non-disclosure remains an important factor when claims are assessed,” says Gareth Friedlander, Deputy CEO of Discovery Life.

So what counts as “non-disclosure”?

It's simply leaving out a material fact–something that could reasonably affect your premium or whether you're offered cover at all–when you apply for or update a policy. It doesn't have to be deliberate. Plenty of non-disclosure happens by accident, because people don't realise a particular detail is relevant.

Disclosing something uncomfortable doesn't automatically mean you'll be turned away. It simply helps the insurer price your risk accurately. Depending on what comes up, they might ask for medical records or additional tests, add a loading (a higher premium) or apply an exclusion for a specific condition. Cover itself is rarely refused outright.

The critical window is before your policy starts, which is also known as the underwriting phase. Everything relevant up to that date needs to be on the table; after that, you're covered for whatever happens next. If you later increase your cover or add a benefit, you'll need to disclose any relevant changes since your last application, but this only affects the new portion of cover, not what you already have in place.

If an insurer suspects something wasn't disclosed, they can investigate, and sometimes only once a claim comes in. Friedlander describes one case where a policyholder had not disclosed a serious alcohol-related health issue and a prior hormonal condition. Medical records obtained after death told a very different story to what was disclosed at application. Because cover wouldn't have been offered on the true facts, the policy was voided and no claim was paid.

In less severe cases, insurers may instead adjust the premium, exclusions or benefits retrospectively to reflect what should have applied, which can still affect what's paid out.

As Friedlander puts it, most claims are paid and non-disclosure is one of the few causes that's entirely within your own control to avoid.

If you're unsure what needs disclosing on your own policy, a Discovery accredited financial adviser can help you go through it properly, and you can see how Discovery Life's cover is structured before you apply or make changes.

As Friedlander puts it, most claims are paid and non-disclosure is one of the few causes that's entirely within your own control to avoid.

If you're unsure what needs disclosing on your own policy, a Discovery accredited financial adviser can help you go through it properly, and you can see how Discovery Life's cover is structured before you apply or make changes.