What is trauma insurance?
Trauma insurance is a tax-free, lump sum payment that helps relieve immediate medical and rehabilitation costs if you suffer a serious injury or a critical illness.
Unlike superannuation insurances (such as TPD, income protection, terminal illness, or death insurance), trauma insurance is a policy that you must purchase yourself outside of your superannuation.
What injuries and illnesses are covered by trauma insurance?
Every policy is different and trauma insurance is no exception. The entitlements and particulars for trauma insurance claims depend on the insurer and the rules in the product disclosure statement (PDS) that relate directly to your policy.
Generally speaking though, the lump-sum payment available through trauma insurance can help cover the financial impacts of a variety of significant, life-changing events.
Types of trauma insurance
Each trauma insurance policy covers different types of injuries or medical conditions. These are some of the most common:
Serious injuries
Neurological and cognitive injuries
Other trauma events (policy-dependent)
- Stroke
- Heart attack
- Cancer (various stages and definitions)
- Organ failure
- Major organ transplant
What types of incidents can cause injuries or illnesses that could be covered under trauma insurance?
- It doesn’t matter whether your trauma-related injury or illness happened as a result of a specific incident or accident (such as a car or work accident) or whether it simply developed naturally (such as an unexpected medical condition).
- It is simply the fact that you have suffered an injury or illness that is covered by your trauma insurance policy that will trigger your entitlement at types of incidents can cause injuries or illnesses that could be covered under trauma insurance?
How we can help
Our insurance law team can assist with trauma insurance claims by:
- explaining how trauma insurance works and whether it applies to your circumstances
- advising whether you may be entitled to make a trauma insurance claim
- reviewing the policy terms and definitions that apply to your insurance
- assisting with claim preparation and the supporting medical evidence required
- advising on insurer decisions and any review or dispute options available
If you are unsure whether your injury or illness meets the policy definition, or you have concerns about how your claim is being handled, early advice can help clarify your position.
