Total & Permanent Disability (TPD) Insurance

Total & Permanent Disability (TPD) Insurance

TPD will cover you for any permanent injury or illness and will give a one off payment that is able to be used for any purpose. The payments are most frequently used to pay for;

  • Home or lifestyle modifications
  • Ongoing or long-term medical expenses
  • Any outstanding debts such as your mortgage
  • A fund to provide an ongoing income for your family

Should I get TPD cover?

It is important to consider TPD cover if you have children and a partner or are thinking of starting a family in the near future. If your cover is set up whilst still young and healthy there will be low medical check or restrictions on the cover.

How is it different to Trauma Cover?

Cover for Trauma is for only a short to medium term costs and pay-outs can be from $500,000 to $750,000 however if you suffer from a permanent illness or injury you will need a larger sum to cover you and your family for life. 

TPD cover can be included in your superannuation however it is important to check that the cover provided will match your necessary needs. A default TPD cover in a superannuation can be very restrictive and not cover for all the necessary needs. 

Disclaimer: The opinions and recommendations provided are not intended to be relied upon as personal advice as they do not take into account your personal circumstances.  You need to assess your own position or call us for professional advice.

* The information on this page was sourced from Money Smart.