Total and Permanent Disability (TPD)

None of us like to think about our own mortality or what would happen if something were to happen to our health. However, planning for the worst case scenario is the best way of limiting the impact of that worst case. If you were to suffer an injury or illness that would prevent you from ever being able to work again, how would you and your family pay for your mortgage, bills, kids education and all the other expenses that life hits you with?

Total and Permanent Disability (TPD) cover

TPD cover is an insurance cover that will pay a lump sum benefit if you will sick or injured and never
able to work again. The benefit amount can be set at any desired level and will ensure that if
something were to happen to your health, the last thing that you will have to worry about is money.
When deciding on how much cover to take out, the following thins can be included:
 The living expenses for you and your family
 Paying off your mortgage or other debts
 Any medical or rehabilitation costs
 Education costs or other child expenses

‘Any’ or ‘Own’ Occupation?

If you have looked at getting TPD insurance policy before, you will notice that you can choose ‘Any’ or an ‘Own’ occupation definition.

Own occupation: The insurance policy will cover you if you’re unable to ever work again in the specific occupation that you were working in before your disability.

Any occupation: The insurance policy will cover you if you’re unable to ever work again in any job that you are suited to, based on your training and experience.

An ‘Any’ occupation definition is generally cheaper, but is generally less likely to pay out in the event of a claim.

How do I pay for this cover?
TPD insurance cover can be paid for via a direct debit/ credit card, just like any other insurance policy. However, unlike many other insurances, it can be funded by your superannuation fund also.
Many superannuation accounts can have a default insurance that is offered to you upon joining, so it is important to consider any cover that you already have.

To help determine whether this is right for you and how much may be appropriate for your circumstances, arrange an appointment with one of our consultants by calling 03 9427 0855.