With one in two Australian men and one in three Australian women expected to be diagnosed with cancer by the age of 851, many families are learning first-hand how an illness can interrupt their lives.
But should the worst occur, the home loan and school fees will still have to be paid – on top of medical expenses – while you work towards getting better. Trauma insurance can help you achieve this.
How does it work?
Trauma cover provides you with a lump-sum payment if you're diagnosed with a specified medical condition – such as cancer or a stroke – undergo a specified medical procedure, or are seriously injured, as set out in the policy.
In most cases, once your claim has been approved, you’ll receive your lump sum without a waiting period. And you don’t have to be employed to receive the lump sum. So whether you’re working or not you’ll be able to recover without financial stress.
If you’re a parent, you could consider insuring your children too. If your child becomes ill or injured as set out in the policy, a lump sum could help relieve the burden of your child’s ongoing care.
As with any type of insurance, it’s important to understand how much insurance you need.
What about private health cover?
Private health cover will generally only help pay your hospital and medical bills, and possibly some rehabilitation expenses, depending on the extras cover you have.
A trauma insurance lump sum can help you meet expenses on top of this, such as additional medical costs, repaying your home loan and other debts, covering the costs of rehabilitation or any modifications you may need to make to your home, in the case of a serious illness or injury.
Make sure you get back on your feet
It’s easy to avoid thinking about challenging life experiences like an illness or injury. In fact, it feels better when we look on the bright side. But it’s possible to be positive and practical at the same time, by insuring yourself for when you and your loved ones may really need it.
Speak with your financial adviser about how trauma insurance could help you and your family - or call us on 131 267.
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If you’ve ever wondered about the value of insurance, find out about AMP’s approach to claims and what we paid in 2017.