The dangers of down lights covered by insulation is an unknown or ignored issue. Too many 1990's era house ceilings that I have inspect recently have had insulation over or covering the halogen down lights.
This is a fire risk due to the temperature build up around the lights. There should be a clearance of 200mm to any combustible surface and 50mm clearance from the insulation bat or transformer.
Down light barriers or domes should be fitted to ensure compliance especially if loose insulation has been used.
​Alternatively have an electrician replace the lighting with energy efficient LED down lights. LED lighting generates less heat and alleviates most of the heat build up issues.

House inspections are are so important to the buying process of your next house.
As your inspection to purchase was a probably a quick 10 minute look around, you saw that you wanted to buy the property. It had everything you were were looking for in a property. But did it have what you couldn't see. This is where a house inspector comes in with our 90 minute inspection.
We check for dampness in the house walls with special moisture meters.
Also checking for underfloor dampness caused by failed water proof membranes in the wet areas and surrounding rooms.
Inside the roof cavity is checked for failed timberwork and termite damage.
On the roof inspection for roof gutter flow, damaged roofing, timber rot and cracked flashings.
The site is checked for fencing issues, termites in surroundig trees, excessive ground movement and paving condition. Collapsed paving is a sign of storm water pipe joint failure which is quite common as most storm water was DIY when the Golden Grove area was developed for example.
All internal rooms are examined for issues such as patched walls, to determine why the wall was repaired. Ceiling sag from popped screws is quite common in houses built between 2001 and 2009 and can be an expensive repair.
The house is given a good look over and a report is written up on the day of the inspection.
House inspectors should be insured, licenced and have building trade qualifications, with years of experience. I know I do and I am here for you.
A building inspector should have a thermal camera, moisture meter, cavity camera gear with him at all times. I also carry laser measuring equipment, laser levels, a ferroscan to enable checking for the depth of steel reinforcement and even a gas detection meter.
At $350, my service is still affordable as I only run a home office and I am not paying huge franchise fees, like many other inspectors.

​I inspected a beautiful house this week built around the year 1900. The house itself was in great condition considering the age of the residence. The large 1970's built Granny Flat addition however was in a very poor condition. It had numerous issues, like leaking roofing, due to non tradesman like construction and wood rot in the poorly maintained timber that was used on external exposed areas, such as fascia, barges and window canopies.
Sagging ceilings,  mold related issues and a badly damaged bathroom that had cracked shower tiling, broken shower screen etc. The bathroom was in a non usable condition due to the moisture levels present.
Now the main issue is that this area was closed off during the sales open inspection from the purchaser, as a tenant was living in there still. The fact that I looked at the property a few days later and the Granny Flat was empty and windows were open, incense sticks were positioned to hide musky smells of the damp related issues brings the question of why was access not granted until an offer was placed on the property. 
Inspections are so important for your financial and safety reasons.