What is total and permanent disablement (TPD) cover?

If you become permanently disabled, it can make returning to work difficult. Total and permanent disablement (TPD) cover provides financial protection in the event you become totally and permanently disabled due to an illness or injury.

Why do I need TPD insurance?

The key reason to obtain TPD cover comes down to protecting you and your family from financial difficulties.

If you are the sole breadwinner in your household, and suddenly suffer from a permanent disability, who will look after your family financially? By making a successful TPD claim, you will be paid a lump sum to assist you in financially supporting yourself and your family.

When deciding the level of TPD cover, you need to consider a range of factors, including: 

• Any debts you may have including including mortgage and credit cards
• Day to day living expenses
• Medical expenses
• Retirement savings
• Existing cover like private health insurance or income protection

Total permanent disability insurance bridges the gap between what you have and what you need. 

What is covered by total permanent disability insurance?

There are many different levels of TPD cover out there and it can seem overwhelming to decide on the appropriate cover for you. There are different waiting periods, limits on covers and varying premiums. Each insurer also has a different definition of permanent disability.

TPD insurance typically covers:

• Medical treatment
• Specialists and rehabilitation 
• Carer or care support
• Any modifications to your home due to changes in your mobility
• Payments towards your debts like mortgage 
• Living expenses 
• Travelling expenses to seek medical treatment

When looking at your options, first it’s important to have an understanding of the definition of a total and permanent disability. There are two common definitions which can impact the amount of cover and the likelihood of payment:

• Own occupation: this definition requires that you are unable to work in the job that you were working prior to the disability. This cover is generally greater and is typically available outside of super.
• Any occupation: this definition has a broader requirement; you are unable to work in any job suited to your education, training or experience. Although this cover typically provides a lower amount of cover than the above form of cover, your disability must meet a higher threshold to be considered permanent.

How can I claim TPD cover? 

The claim process for TPD will depend on your insurance provider. However, before making your TPD claim, you must ensure you meet the following: 

• You have a total and permanent disability
• The waiting period has passed (sometimes there may be no waiting period)
• You have proof of work history 
• Your injury has resulted in a loss of ability to work

The personal injury experts at Masselos & Co can assist with your TPD claim and ensure you have all the relevant documents for a successful claim. 

We’re here to help

To prove a total and permanent disability, there is a level of paperwork you will need to compile. The process can seem challenging, especially if you are in and out of medical treatment. Our experienced TPD claim lawyers can make the process easier for you. Book your free consultation today.