Trauma Insurance

Need more information? Read our full guide to trauma insurance.

What common critical conditions can trauma insurance cover?

The two most common types of trauma insurance claims that people make are related to cancer, heart attacks and heart diseases.

Cancer

Heart attacks and diseases

Although most trauma insurance claims are for cancer, heart disease and stroke, some Australian insurance providers offer cover for as many as 50 conditions. The range of conditions covered by trauma insurance varies between providers. Therefore, it is important to check with your insurer what events are covered.

What other conditions are covered by trauma insurance policies?

• Automatically included conditions. Depending on the policy, conditions that are usually covered automatically include:

Why do people consider trauma insurance an important type of cover?

Key trauma facts: Australians are prone to serious illnesses

Trauma insurance claim statistics

What types of trauma claims do Australians make? According to a 2015 study of trauma claims by General Reinsurance the top claims for Australian males and females is cancer.

• Males
• Females

How can trauma cover benefit me if I develop a serious illness?

Trauma insurance provides a payment in a traumatic event. Some of the main benefits of this payment include:

What additional trauma options can provide extra value for me?

How trauma insurance different other forms of cover?

Trauma Insurance vs Income Protection

Trauma Cover vs Life Insurance

Trauma cover can be a standalone policy or linked with the policyholders life cover. Applicants can usually receive cover until the age of 65 though some companies provide cover to the age of 80 with some restrictions.

How much will trauma insurance cost me?

The cost of your policy depends on a number of variables specific to your situation, such as:

• Standard vs plus policy. A plus policy will cover more conditions but will also cost you more
• Your age. Premiums get more expensive as you get older and your risk of injury or illness increases.
• Your gender. Women in their mid 30s generally pay higher premiums then men of the same age as they have a higher chance of being diagnosed with cancer, particularly breast cancer. Men in their mid-50s men generally pay higher as are prone to cardiovascular disease.
• Your smoking status. As a smoker, or someone who has recently quit smoking in the last 12 months, your risk of illness and medical trauma are greater than a non smoker.
• Your benefit amount. The higher the benefit you opt for when taking out trauma insurance, the higher your premiums.
• Your family background and medical history. Family medical history and any pre-existing medical conditions will help the underwriter determine the level of risk that you carry.
• The insurance brand. Each insurance brand will usually have a different cost on policies with the same sum insured.

Sample cost of trauma insurance policies

The following table shows how the cost of your premium is affected by your sum insured and the brand you go with:

• $100,000 sum insured
• $200,000 sum insured
• $300,000 sum insured
• $400,000 sum insured
• $500,000 sum insured

If I've already suffered a serious illness can I apply for trauma cover?

Unfortunately it is difficult to get cover for a pre-existing medical conditions. However, you can still get covered for most other un-related conditions with an exclusion on the specific condition you have previously been diagnosed with. For example if you're condition in the past was a heart attack this how you'll still be covered:

If I make a claim for trauma will I still have death cover?

If you take out a life insurance policy that includes trauma cover and make a trauma claim your policy will typically subtract the trauma benefit amount from your total death benefit. For instance if you have $1 million is life insurance with a $300,000 trauma benefit and make a claim you'll be left with $700,000 death cover.

Can I make sure I still have full life insurance cover after a claim?

Yes! the good news is that you can take out a buy-back option (double trauma) that allows you to reinstate your full life cover. Here's how it works:

How do I compare trauma insurance quotes in Australia?

Look out for the following policy information:

Make sure you also consider your personal circumstance:

Look out for:

• What you require in your policy. Some basic policies may only cover up to 10 medical conditions with more advanced policies offering cover for up to 30 medical conditions. It is essential you know exactly what is being covered before applying.
• Find a policy that can be tailored to suit your needs. Cheaper policies may have more restrictions on what the buyer can adjust in terms of how they want to pay their premiums.
• Compare the benefits on offer from each plan. Buyers should be aware of what each provider is offering in terms of special rebates or promotional offers.
• Compare premiums from each provider. Make sure you know exactly what the policy is covering.

Who should consider taking out trauma insurance?

Trauma Insurance is really worth considering for anyone that does not have the financial backing to deal with the costs that may be associated with suffering a Trauma condition. This may include:

• People with dependent families.
• People that do not want to burden friends and loved ones with the expense of a serious illness or injury.
• Executives and other key workers in a company that work under a high-degree of stress.
• Older people that may be more susceptible to suffering a condition.
• Young couples that had only recently married and are looking to protect their families future.
• People that already have life cover or income protection but would like to accommodate for the extra risk of a trauma condition.
• People that may have been unable to take out income protection due to the nature of their occupation or preexisting health conditions.

Who is eligible to apply for a Trauma Insurance Policy in Australia?

You can apply for cover in Australia if you are:

• Between the age 17 to 59 years old
• An Australian citizen or permanent resident
• Residing in Australia at the time of application

Trauma Insurance: Frequently Asked Questions

There are so many different forms of life insurance available, so below are some simple answers to questions which might be weighing on your decisions:

What exclusions are there when it comes to trauma insurance?

As with most types of life cover, Trauma Insurance will not provide coverage for intentional self-inflicted injury or attempted suicide.

Trauma insurance can be a valuable addition to your insurance package, because the last thing you want to be doing when you find out you have a debilitating illness or you suffer a medical trauma, is worrying about money. Instead, trauma insurance gives you protection and peace of mind that your medical bills and other debts will be paid, so you can concentrate on recovering and spending time with your family.

Receive trauma insurance quotes with an adviser or direct

_References:

_{¹ https://www.insurancewatch.com.au/australias-3-1-trillion-underinsurance-crisis/}

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_{³ http://www.health.gov.au/internet/main/publishing.nsf/Content/chronic-cardio}

_{⁴ http://www.genre.com/knowledge/publications/ri15-4-droste-xiang-en.html}