Insurance ProtectionNews Total And Permanent Disability Insurance

Are Your Wealth and Family Protected?

Total and permanent disablement insurance, or TPD, is a form of disability insurance that pays you a lump sum payment in the case that you are never able to work again due to disability. TPD can help ensure that your needs and your family’s are covered if you become permanently unable to work. (1)

Sadly, a disability can happen to anyone, young or old. A person can suffer a debilitating injury by playing sports, driving or even walking down the street. A head trauma or severe illness can have life-changing consequences. These are all risks that we face every day of our lives, even if they aren’t in our consciousness.

How TPD can Help You

If you sustain an injury or illness that makes you unable to work, TPD can help you provide for your family. It is usually purchased in tandem with life insurance to provide a “financial safety net” for you and your family in the event that you are no longer able to work. (2)

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Financial PlannersInsurance ProtectionNews Financial Planner Discuss NDIS

Is the National Disability Insurance Scheme Enough to Protect You and Your Family?

Currently, the National Disability Insurance Scheme (NDIS) has two trial sites in the Perth area. The NDIS is under the umbrella of the National Disability Insurance Agency (NDIA). It is currently available for residents of two Perth suburban areas: the Lower South West and Cockburn/Kwinana.

What is the NDIS?

According to their Government website, the NDIS is a scheme in which the disabled are offered community assistance to help them live better lives. It is designed to assist not only people with disabilities, but their carers and their families. It is intended to provide those who suffer a significant and permanent disability. Assistance includes information, referrals, individualised supports and plans, early intervention and support to help access activities and community services.*

However, there is one thing that the NDIS isn’t: it is not Total and Permanent Disability Cover.

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News How Much Permanent Disability Insurance Do You Need

How Much Permanent Disability Insurance Do You Need?

Why it is still important to have permanent disability insurance in Australia.

With the rollout of DisabilityCare Australia, many Australians are of the mistaken impression that it will no longer be necessary to purchase permanent disability insurance. This is not true, as the current setup will not affect Australians who suddenly find themselves with a total and permanent disability due to accident or illness.

So, how do you decide exactly how much total and permanent disability insurance (TPD) you need?

The first thing to do is to get a firm grasp on your personal financial situation. For example, how much money do you owe on credit cards. You probably also have an automobile loan and a home loan: how much would it cost to pay them off? How much would it cost for utility bills? How much would it cost you to eat?

If you suffer a permanent disability, you may also have to retool your home and automobile to help compensate for your disability. You may also need carers to help you in your diminished physical capacity. How about your general living expenses? You may also want to make investments in the future. How much money will you need on a monthly basis to cover all of this?

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News Difference Betweek Trauma and TPD Insurance

The Difference Between Trauma Cover and Total Disability Insurance (TPD)

Many Australians carry both trauma cover and total disability insurance (TPD). Here’s why.

Although trauma cover and total disability insurance (TPD) are similar, they are designed to produce two different outcomes. That makes it important to understand what both coverages do and what they don’t do.

Trauma Insurance: the Basics

Trauma insurance is taken out for specific illnesses. It pays out a lump sum if you are diagnosed with that illness. The lump sum is designed to help you take care of your financial responsibilities while you recover: both your standing expenses and new expenses such as rehabilitation or carers. Ideally, you are able to fully recover and get back to living your life with no severe financial consequences.

Trauma insurance covers such illnesses as cancer, heart attack and coronary bypass surgery. The illnesses are very specific and are defined within your insurance policy so that you know exactly what occurrences will result in benefits and what ones won’t.

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News Benefit of Having Both Total Permanent Disability (TPD) and Life Insurance

The Benefit of Having Both Total Permanent Disability (TPD) and Life Insurance

Insurance provider in Perth explains how a disability insurance scheme is benefitting many Australians who suffer from total permanent disabilities.

One of the main advantages to bundling is that you can work with one insurance agent and develop a plan that is both customised and comprehensive, without the inconvenience of managing multiple policies.

Bundling TPD and life insurance can be particularly beneficial if someone becomes totally and permanently disabled and then dies shortly thereafter. However, collecting TPD payments can often reduce the life insurance benefit. For example, if you have $500,000 worth of TPD cover and $1 million in life insurance, collecting the $500,000 for TPD will change your payout for life insurance to $500,000 with a standard policy.

TPD Buyback and Double TPD

Some policies allow the user to “buy back” whatever life cover was affected by collecting TPD money. Restrictions vary from policy to policy.

Other policies have a “double TPD” feature in which there is no life cover reduction when collecting TPD. In addition, some policies state that a buyer who collects TPD is no longer responsible for paying the premiums on their life insurance.

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News Total and Permanent Disability Insurance: What It is and Why You May Need It

Total and Permanent Disability Insurance: What It is and Why You May Need It

Total and Permanent Disability Insurance can keep you from depending on others if you are permanently disabled.

Nobody wants to think about what would happen if they were permanently disabled. A lot of people say, “it will never happen to me” and don’t think twice about it until they suffer a serious injury. Sadly, it could happen to you.

Ask yourself what would happen if you were suddenly unable to work. How would you live? Who would pay your bills? Do you have enough of a “nest egg” to take care of you if the unthinkable were to happen to you tomorrow?

With total and permanent disability insurance or TPD, you don’t have to worry about being broke and unable to work. So, what is TPD insurance?

What is Total and Permanent Disability Insurance?

TPD insurance is a policy that pays you if you suffer a permanent disability and are incapable to work; the disability can be caused by injury or illness. The policy is designed to compensate for lost income and to help you pay for extra medical and rehabilitation expenses that aren’t covered in your health insurance.

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