Life Insurance Blog

Do I need to get trauma cover insurance?


Trauma cover insurance is insurance against an incurable condition being found.  In this even it pays a lump sum in cash.  The sorts of conditions that are covered are strokes, cancer, major head injuries and heart attacks.  It is also called critical illness insurance.

In these cases term life insurance will not help while the person is alive.  Unfortunately there are many new expenses when a trauma occurs.  Health insurance premiums become more expensive, medical care costs more and the person who is diagnosed with these conditions is no longer able to work.

In many of these cases the person who gets the condition is not fatally injured at all, but is able to go back to work after a period of recuperation.  One example is if a person were to have a heart attack.  This may mean that the person needs to reassess their lifestyle, but in many cases – particularly if they are relatively young this will not preclude the person from working, and often working in their current job.  This will mean that the person will have a period during which they will not be working but will have some increased expenses.  In these cases the trauma cover insurance will cover them.

Avoiding the stress of increased debt during the recuperation period is only one of the reasons to have trauma cover insurance.  It will also mean that there is money available to see a specialist, even to get international medical attention.  This will mean that the person who is insured will now be able to jump the government waiting list and get private care instead.

Another cost of trauma can be that there are expensive modifications that are needed for a home – for example a new bath may be needed or stair lifts.  These can be very expensive particularly for someone on reduced hours or on a pension.  These life saving modifications can be paid through trauma cover insurance. Some people have even asked if they can be covered regarding accident claims against them. It may be wise for example to compare car insurance quotes from various vehicle insurance providers to see if this is the case in your circumstance.

Trauma insurance does not just mean that a person who has had to take time off work can be compensated.  It also means that a person who has to take time off work to care for a relative can also worry less about falling into debt.  Trauma insurance pays out cash rather than paying for a treatment.  This will mean that the money can be used in whatever way suits the person who has suffered the trauma.

Stephen Handley
Stephen Handley
My name is Stephen Handley. I have over 20 years experience in IT, Project Management and Financial Services. By combining this experience, I hope to make it easier for Australians to find good quality and affordable life insurance. Furthermore, I am not connected to any life insurance company. So, in the unfortunate event of a claim, you'll have someone in your corner, representing your interests.