Disability Insurance: 3 Types Commonly Purchased

Disability insurance, is it worth it? The simple answer is yes.

When you suffer from an illness or injury, the impact on your life may affect more than just your health, it may affect your finances in ways you never thought possible.

Whilst you have to worry about possible medical bills for treatment, hospital stays and health insurance excesses, the financial strain can disturb your lifestyle and that of your family, in the event that you are unable to work for a short or prolonged period of time.

Fortunately, you can be proactive and purchase an insurance policy that will alleviate the financial strain, should something like this does occur.

Lifebroker offers the following types of disability insurance, commonly purchased by Australians just like you.

Income protection insurance

Income protection insurance offers a monthly payment in the event that you are sick or injured and cannot perform the duties within your OWN occupation. The policy is guaranteed renewable, so the insurer cannot cancel the policy due to a change in your circumstance.  Many policies include extra benefits, when it comes to income protection you really do get what you pay for. So if you’re considering a basic policy because it’s cheaper, just consider why it might be cheaper. No frills is not always best, especially when you want to protect your income and your family.

> Get an Income Protection Quote

TPD Insurance

TPD insurance is often taken as an extension to income protection. To claim on TPD cover you usually have to be off work for at least 3-6 months due to sickness or injury, and never be able to return to work again.  TPD is paid as a lump sum and can supplement your income protection, your TPD can be used to cover your debts, while your income protection can be put towards living expenses and even superannuation instead of on your loan or mortgage.

> Get a TPD Insurance Quote

Trauma Insurance

Trauma insurance pays a lump sum if you suffer one of the covered medical conditions. Trauma conditions are usually deemed to be potentially life threatening, most commonly covering you for around 30 different medical conditions, including things such as heart attack, cancer and stroke.

This is designed to help pay out any debt, use as an investment to provide a yearly dividend, cover medical bills or even take a holiday.

> Get a Trauma Insurance Quote

Disability insurance is a great source of protection for your income and your family.