How much does trauma insurance cost?
Trauma insurance costs on average $20 a month for white- and blue-collar workers.
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The cost of trauma insurance?
We obtained quotes from nine insurance brands to find out the average cost of trauma insurance. It's important to remember that these costs won't reflect your personal situation and will likely vary.
If you become seriously ill or are recovering from a major injury, trauma insurance can pay you a lump sum. Trauma insurance costs vary depending on a number of factors including the type of job you have, whether you smoke or not and how healthy you are.
Through our research we found that trauma insurance can cost around $20 a month.
How much does trauma insurance cost?
The cost of trauma insurance depends on a few factors: your age, health, occupation, smoking status, the amount of cover you want and whether or not you want to bundle a policy with life cover.
To give you an idea of trauma insurance costs, take a look at the table below. It's based on a white-collar, 35-year-old male worker looking for $100,000 worth of cover.
| Insurer | Non-smoking (bundled with life) | Non-smoking (standalone trauma) | Smoking (bundled with life) | Smoking (standalone trauma) |
|---|---|---|---|---|
| NobleOak Trauma Insurance | $25.19 | $14.31 | $53.24 | $32.63 |
| ANZ Recover Well | No bundled cover | $28.61 | No bundled cover | $55.18 |
| TAL Recovery (Trauma) Insurance | $38.30 | $22.29 | $83.06 | $48.14 |
| Qantas trauma insurance | $46.50 | $26.48 | $100.87 | $57.19 |
| Allianz | $29.07 | $11.31 | $58.26 | $26.01 |
| Zurich Wealth Protection | $23.12 | n/a | $63.09 | n/a |
| MLC Insurance Life cover | $24.68 | n/a | $57.21 | n/a |
| AIA Priority Protection | $31.11 | n/a | $54.03 | n/a |
| OnePath | $30.42 | n/a | $54.84 | n/a |
| RAC Trauma Insurance | $24.48 | $6.74 | $53.22 | $12.77 |
*Quotes are based on a 35-year-old male, white-collar worker, taking out $100,000 cover. Quotes accurate as of May 2020.
Get a trauma insurance quote to get more detailed costs
What impacts the cost of trauma insurance?
How much you'll pay for trauma insurance depends mainly on these factors:
- Your age. The younger you are, the less you tend to pay for insurance.
- Biological sex. Women tend to pay less for trauma insurance because they're statistically less likely to be involved in accidents.
- Your job. You may pay more for trauma insurance if you work in a high-risk job.
- Smoking status. If you smoke, you will pay more for your premiums.
- Your health. People with pre-existing conditions may have to pay more.
- The cover amount you select. When you take out a policy, you choose how much you want a policy to pay out. The more you select, the higher the premiums tend to be
Do I pay more if I have pre-existing conditions?
It's likely. In many cases, pre-existing medical conditions mean you're more likely to become seriously ill. As a result, your insurance provider is likely to do one of the following:
- Charge you higher premiums but cover you for conditions related to that medical condition.
- Impose exclusions on your policy for any claims related to your pre-existing conditions.
- Cover you at no extra charge. If your pre-existing condition is unrelated to anything that trauma insurance covers you for, you might be able to avoid paying more.
How can I save on trauma insurance
Follow these steps and you might be able save on trauma insurance.
- Get it young. The younger you get it, the better your chances are of encountering much lower premiums because you're less likely to have pre-existing conditions or other health issues.
- Bundle it rather than standalone. If you bundle a trauma insurance policy with life insurance, it's usually much cheaper than buying two standalone policies. It also means your dependants are covered if you die or if you become seriously unwell.
- Level premiums. If you select level premiums, the costs will stay the same no matter how long you have the policy for. This is different from stepped premiums, which generally cost less to begin with but begin to rack up each year you retain the policy.
- Avoid unnecessary extras. It's important to select a policy that works for your situation. For instance, don't pay extra for a policy that includes child trauma if you don't need it. Also think about how much cover you need. You don't want to pay for more cover than you need, or too little for not enough.
- Compare. Settling for the first policy may be the least time-consuming option, but if you want to save, shopping around for a deal can save you heaps.
Frequently asked questions
Can you claim trauma insurance premiums as tax deduction?
No. You can only claim income insurance premiums as a tax deduction because they're related to your income. However, the trauma insurance benefit (the payout you receive) is tax free.
Can super pay for trauma insurance?
No. Super generally only pays for life insurance and in some cases, income protection.
Does trauma insurance also cover injury?
Yes. Common injuries that trauma insurance can cover include major burns, loss of a limb or loss of sight.
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