Superannuation remains an important part of retirement planning in Australia. It’s designed to help Australians build financial security for their later years, primarily through compulsory and voluntary contributions that grow over time. However, super isn’t just a savings account; it also provides a pathway to essential insurance cover.
Receive a tax-free lump sum benefit when you are unable to work ever again because an illness or accident has rendered you totally and permanently disabled. This benefit supports you in paying your bills, taking care of your dependents and modifying your home or car so your quality of life is the best it can be.
Trauma Insurance and Total Permanent Disability (TPD) Insurance may seem somewhat similar, but their purposes support you through two fairly different circumstances. Understanding the key differences between these policies could help you make an informed decision about which is right for you. If you were to suddenly lose your ability to work due to illness or injury, it’s essential that you’ll still be able to maintain all of your financial responsibilities.
When you rely on your income to pay the bills and support your family, you probably require some form of protection against the possibility that you can’t work because sickness or injury has left you totally and permanently disabled.
