Total & Permanent Disability Insurance

TPD Insurance provides a lump sum benefit if you are totally and permanently disabled as a result of illness or injury, and are therefore unable to return to work.

As a supplement to life insurance most of the Australian public also have Total and Permanent Disablement (TPD). This is usually owned within superannuation because it is provided more often than not as a standard when you open the superannuation account. TPD provides a lump sum benefit if the insured becomes totally and permanently disabled as defined by the policy.

When applying for TPD insurance, the insured will generally need to choose between an “own occupation” or “any occupation” definition. Full details will be available in the product disclosure statement – own occupation requires that the insured is unable to work ever again in their own or normal occupation, whereas any occupation requires that the insured is unable to work ever again in any occupation for which they are reasonably suited by education, training or experience. Depending on the policy, specialised definitions for professionals and homemakers may be available.