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All You Need To Know About Trauma Insurance And Its Benefits

All You Need to Know About Trauma Insurance and Its Benefits

Many people are quite confused about the difference between Trauma and TPD insurance. Trauma insurance provides the insured with a considerable amount of financial support in the event of a critical injury or illness. These conditions may include cancer, cardiovascular diseases, and many more. Trauma insurance has helped many people recover from the financial expenses incurred from certain medical events.

Trauma insurance differs from Total and Permanent Disability insurance (TPD) since the former pays a lump sum of money in the event of a critical illness diagnosis or injury. In contrast, TPD pays a lump sum only when the insured becomes totally and permanently disabled due to an injury or disease.

If you are considering including Trauma insurance in your financial plan, learn how it can benefit you and your family. Check out this guide for all the essential details you need to know.

Conditions Commonly Covered by Trauma Insurance

The specific condition coverage may vary among different insurance providers and policies, but you can expect to be covered for conditions and surgeries such as:

  • Alzheimer’s disease
  • Cancer
  • Heart attack
  • Kidney failure
  • Loss of sight, hearing, speech, or limbs
  • Major organ transplant
  • Multiple sclerosis
  • Stroke
  • Other illnesses requiring intensive care

Factors to Consider When Choosing a Trauma Insurance Policy

Take note of the factors below so you can pick the trauma insurance policy that will suit your needs the best.

  • Coverage – This refers to the specific definitions of illnesses and injuries covered by the policy.
  • Exclusions – These are the conditions and surgeries not covered by the policy.
  • Benefit amount – This is the total amount the insured will be paid in the event of a successful claim.
  • Add-Ons – This refers to the additional benefits or add-ons you may receive in the event of a claim.
  • Premiums – This is the cost of the insurance policy and its possible increase over the years. Stepped premiums increase each year as you get older, while level premiums are more expensive at first but cost the same even as you age.

Benefits of Getting Trauma Insurance

Some expenses that a trauma insurance policy can cover are:

  • Treatments that aren’t covered by private health insurance
  • Rehabilitation, post-illness medication, or procedures
  • Lifestyle changes, such as required modifications to a patient’s living space
  • Living expenses in the event of income loss
  • Medical debt

Indeed, experiencing a critical illness or injury entails not only hospitalisation; it involves spending lots of money on rehabilitation therapy, maintenance medication, ongoing doctors appointments, and others. By getting a trauma insurance policy, you can rest easy knowing that financial expenses will not be as heavy. After all, you would not want to use up your savings nor rely solely on financial support from relatives and friends.

Do not hesitate to consult with a financial adviser if you are looking for more guidance on applying for trauma insurance for you and your family.

Get Insured and Talk to Our Advice Team Today!

You can get trauma insurance as a stand-alone policy or as part of your comprehensive life insurance plan. There are various options out there related to the specifics of a trauma insurance program. Just remember to take your lifestyle and existing conditions into consideration when taking out a policy.

Whether you’re obtaining trauma insurance through a financial adviser, insurance company, or insurance broker, feel free to bring up any reservations or concerns you may have, as they are experienced in tailoring policies to your needs.

Reach out to Central Coast Financial Planning if you’re looking for a life insurance specialist. We offer trusted financial advice to clients across the Central Coast. Book a  meeting with us today.


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