How Much Trauma Insurance
When deciding how much Trauma Insurance to esblish you should take into consideration your financial commitments and how long they last. Plus think about in the event of a medical emergency:
- The cost of immediate care
- The ongoing cost of any therapy, special transport costs, adjustments to housing and lifestyle changes, and
- Any debts you have
You should also consider other insurances that you may be able to claim on in the event of a trauma event, particularly Income Protection insurance. Trauma insurance does have the highest premiums on a per dollar of cover basis because of the high rate of claims. However this can result in cover not being established at all. It is common for people to take out between $100,000-$250,000 trauma insurance.
Trauma Insurance Case Study
- Situation: 50 year-old couple with two adult children and a $250,000 mortgage with the father earning $45,000 a year and the mother $50,000. The mother is unfortunately diagnosed with breast cancer and is unable to work for a period of 3 months (making a full recovery).
- Trauma Insurance pays her $150,000, allowing the family to pay off meet immediate medical expenses and living costs, permits the husband to take extended leave from work to care for his wife.