[?] Subscribe To
This Site

TPD

Insurance against permanent disability - TPD INSURANCE

Total and Permanent Disablement, TPD insurance provides cover against suffering an injury or illness that permanently prevents an individual from being able to work. The proceeds of a policy can be used to pay off any debt, make adjustments to the home or maybe even to provide for a carer.

The conditions to make a claim vary, however insurers generally offer two different types of policies called Own Occupation or Any Occupation TPD cover:

Own Occupation � means that a benefit is payable, if by reason of illness or injury, you are no longer able to perform your own (or normal) occupation or profession.

Any Occupation � means a benefit is payable if, by reason of illness or injury, you are no longer able to perform any occupation for which you are reasonably suited by way of education, training or experience.

It is important to note that before a lump sum benefit is paid under TPD insurance, most Any and Own occupation policies will require you to be unable to work for a consecutive period of 3 to 6 consecutive months, and that you be unlikely to ever be able to return to work.

Generally, it is more difficult to satisfy a claim under �any occupation� policies compared to �own occupation� policies and as a result, these policies tend to be cheaper. This is because the insurance company will look at whether or not you are able to do any work in a relevant profession. If it is determined that you can perform some work in any occupation for which you are reasonably suited, then �any occupation� policies will generally not be paid in the event of sickness, accidental injury or disablement.

Total and Permanent Disablement insurance differs from Trauma insurance as it provides what is referred to as �catch all� cover. That is, a TPD policy may provide a benefit in instances where Trauma cover may not. It is important to remember that Trauma insurance pays a benefit only on the occurrence of certain and specified events or illness in the policy. Even though cover is extensive, it does not mean that the policy covers all illnesses. A Total and Permanent Disablement policy is paid out upon satisfaction of the appropriate definition of total and permanent disability.

�TPD insurance is a technical area. There are numerous products, policy options and features available, making it hard to know what is the best for you and your family. A full advice process revolves around a detailed, in-depth understanding of your specific situation. Once our specialist risk advisers have a thorough understanding of your needs, they will research the entire market to find you the most appropriate and cost effective risk solution. Included in this service is an annual review to ensure your solution continues to be competitive in the ever changing insurance environment.�

If you'd like a specialist risk adviser to help you create a SAFETY NET while on your way to financial freedom then, drop us a line -