What Is TPD Insurance

While we would like to believe that bad things will not happen to us and that we will lead a healthy life; the truth is that bad things can happen to just about anybody.

While insurance plans do not have the power to prevent injuries, illnesses and other bad things from happening to people, insurance plans such as Total Permanent Disability plans can protect you and your dependants financially if something bad happens to you due to which you are left disabled and unable to earn a regular income.

TPD plans can not only ensure that you get enough time to adjust to the new situation but these plans can also ensure that your dependants do not have to suffer additionally when the family is already suffering.

Life insurance plans such as TPD plans act as an investment towards your future and ensure that when you need help, the insurer is there to protect you and your family.

 What kind of benefits do TPD plans offer?

TPD plans offer one lump sum compensation payment to the policy holder who has become disabled. This compensation payment is given when the policy holder is unable to work, cannot fulfil his duties at work and needs financial help.

The compensation payment given for TPD plans depends on the nature and severity of the disability along with the type of cover purchased. The definitions of the plan are crucial in determining the compensation you get.

In addition to these benefits, purchasing a TPD plan with adequate cover and favourable terms can ensure that you do not have to constantly worry about getting injured, you can enjoy your life without constantly looking over your shoulder and you can enjoy peace of mind knowing that your insurer has you covered in case something happens to you.

This type of plan can ensure that your children, your spouse or partner and your elderly parents are taken care of even while you are disabled. This type of plan can pay for medical bills, household bills and mortgage repayments when you need some time to recover from the disability.

 Why opt for an add TPD cover?

Total Permanent Disability covers can be purchased as add on plans along with other life insurance plans such as term life insurance or income protection insurance plans. Since insurers offer discounts to buyers who opt for more than 1 plan from the same insurer; purchasing an add on TPD plan can help you save money on insurance.

It should be noted that in some cases, purchasing an add on plan with income protection plans can exclude you from being able to claim for tax benefits on the primary plan that is the income protection insurance plan.

If you are planning to combine plans or opt for add on plans while purchasing an income insurance cover then; consult an insurance agent or insurance advisor before you commit to purchasing the insurance covers. You should opt for a TPD cover if you want to protect your future and your family at all times.

 Why not trauma insurance snstead of TPD insurance plans?

While opting for trauma insurance plans is a good idea for those people who want to stay protected at all times; TPD plans are a must for those individuals who play sports, drive a car, ride a fast bike and indulge in any activity that can lead to disability.

Your individual risk factors along with your history of medical problems will determine which type of life insurance plan is ideal for you.

Remember, trauma insurance plans can protect you financially against critical illnesses but TPD plans can protect you financially when you are disabled and need monetary support from your insurer.

 Why is workers compensation insurance not enough?

While workers compensation insurance has helped many families in Australia; the fact remains that this type of mandatory insurance plan is provided by employers and the compensation payment is only given to the employee when the employee is injured or disabled at work.

Furthermore; workers compensation plans offer a limited compensation payment and the payout is usually not enough to cover medical expenses and living costs while the employee recovers from the injuries.

Personal insurance plans such as life insurance plans and TPD plans, can ensure that you get an adequate compensation payment when you are disabled due to an accident or injury, at work or elsewhere.

This type of cover can ensure that you get a fair compensation payment if you are disabled due to an illness or due to a car injury, sports injury, work injury or any other type of injury.

 Do TPD plans have any limitations?

Most insurance plans have a few limitations however the number and type of limitations on the plan will depend on the cover selected and the definitions of the contract. In addition, the premiums you pay, the additional benefits you opt for, the insurer you select and the terms of the plan will decide if you get a cover with maximum or minimum limitations.

Before purchasing a Total and Permanent Disability plan from an insurer you should do two important things that are; understand your financial needs and understand your personal needs. It is important to keep inflation and future needs in mind while choosing a plan.

It is also crucial to read the terms of the selected policy and consult an expert before you agree to purchase a contract. If you are in doubt regarding a certain plan then take a few days to understand the fine details of the plan and also, consider using the services of a comparison website simply to compare the plan you have selected with other good plans.

Insurance comparison websites allow buyers to choose an insurance cover carefully by offering various comparison services that are easy to use for people of all ages. In addition, to using free services, getting the help of an insurance advisor is always a good plan of action for those buyers who plan to purchase a high cover or are looking for tax benefits.


  Income Protection Life Insurance