Most people often get confused between TPD and Trauma insurance? Well, if you want to know the difference between the two, you’re in the right place. In this article, you’ll know about TDP and trauma insurance in detail. By the end of the article, you can easily differentiate between them and get a clear idea of what to choose for a happier and worry-free life. So, without beating around the bush, let’s get started.
TPD vs Trauma Cover
TPD( aka Total and Permanent Disablement) cover and trauma insurance(aka Critical Illness Insurance) are completely different. Both of these provide financial security under distinct terms and conditions. Don’t get it? Let’s understand with an example.
Suppose you’re suffering from chronic heart disease, trauma insurance is ideal as it provides you with complete finances as per the terms and conditions after diagnosis. However, TPD is generally valid when chronic heart disease makes you totally or permanently disabled. Or else, TPD isn’t valid for the treatment of chronic heart disease.
- TPD Or Total and Permanent Disablement
TPD insurance or policy provides you with a colossal amount if you’re totally or permanently disabled as per the policy’s terms and conditions. This helps you meet both ends.
It even allows you to pay loans, credit bills, mortgages, medical expenses, and home modifications. Usually, the individual should choose from any occupation type as follows to apply for the insurance.
- Own Occupation
- Any Occupation
- Home Duties
- Modified TPD
Also, you no need to repay the insurance coverage for the newest medical expenses that enabled you to work. Usually, you should wait for at least three to six months before claiming to avail of this insurance. Make sure to apply for this insurance only if you’re eligible for it. Or else, the policy strictly eliminates the insurance claims.
- Trauma Cover
Trauma insurance is provided when you suffer from critical illnesses, as mentioned in the PDS(Product Disclosure Statement). A few critical illnesses include Cancer, Heart Attack, Strokes, Kidney Failure, etc.
In general, trauma insurance covers all the medical expenses and daily necessities. This insurance is one of the best choices to get rid of finances and focus on recovering your health. Usually, the candidate should pay the expenses within 14 days of the recovery.
Also, you must wait for about 90 days to claim the insurance. The insurer should pay a higher premium if he/she is suffering from pre-existing critical illnesses. One of the best things about this insurance policy is it covers about 60 critical conditions throughout the day, irrespective of your location.
It covers bills, medical expenses, and other daily expenses, including rehabilitation services. In addition, it even provides child cover on chagrin extra fees or for free.
Which Is Best For You: TPD Or Trauma Insurance
TPD covers only in the case of totally or permanently disabled candidates who are unable to work. It’s pretty tricky to get approved. However, trauma insurance doesn’t contain as strict guidelines as TPD. But the coverage is limited and charges more than the TPD.
Usually, TPD switches superannuation while critical illness cover doesn’t. So, make sure to choose the required insurance based on your preferences and requirements. It’s even better to select both of them as no one can predict the upcoming mishaps.