Trauma insurance in time of need
Trauma insurance cover provides a lump sum when you need it most. It enables you to concentrate on getting better sooner rather than worry about your mortgage or other financial costs whilst you are recovering from an illness.
Compare Trauma insurance companies with ease
At Find Insurance, we have made it easy for you to compare and acquire Trauma insurance with some of the largest and most established companies in Australia.
Trauma Insurance can provide you with a financial protection in the event you are diagnosed with a critical medical condition such as cancer, heart attack, stroke, and other serious medical conditions outlined in the insurer's Product Disclosure Statement (PDS). This type of insurance pays a lump sum benefit payment that you can use to pay for medical expenses and reduce mortgage debt that might still be owing. Since you will be unable to work for an indefinite period of time, it may also help your family to cope with the financial obligations such as mortgage payments, credit card debts and household bills while you are undergoing treatment, especially if you do not have any Income Protection cover in place.
Who needs Trauma insurance?
Main breadwinners are not the only ones who should consider taking out trauma insurance. When a critical illness strikes, it does not discriminate against gender and/or age. If you do not have any Income Protection in place then you should strongly consider taking out some Trauma cover.
If your family has a history of critical illness e.g a mum, dad, uncle, untie or sibling has suffered a critical illness in their lifetime, then there is a higher probability that you will also suffer the same trauma event in your own lifetime. For those of you who have had other family members who have suffered a trauma event, it is important for you to consider trauma insurance as part of your financial planning process. The repercussion of being ill prepared for a serious medical condition can be burdensome to your family’s finances and ongoing lifestyle. The last thing you need whilst trying to recover from cancer or a heart attack is to be worrying about where the money is going to be coming from whilst you are not working.
The amount of cover required for life insurance depends on a number of factors. You should take into account all debts owing, the age of your children, education costs, and the replacement income your family may require especially if you don't have Income Protection in place.
How much Trauma insurance cover do you need?
Most financial planners would suggest you have enough Trauma cover to pay off all your debts at a minimum. This provides you with peace of mind regarding your mortgage and allows you to concentrate on the more important things e.g. getting well and spending time with loved ones. The last thing you need to be doing whilst in hospital is to be worrying about your mortgage.
Next, you need to take into account medical costs. It is a big misconception that everything will be paid for by the public health care system. A lot of medications are not free and can be very expensive. Also, the cost for family members to stay in accomodation near the hospital also has to be a considered. We suggest you add $150,000 to the debt owing, as per our research, to cover medical costs.
Then there is education costs. If you are going to send your child to private schools then you need to take into account this cost. We estimate $10,000 per child per year from Years 1 through to Year 12. Again, this is only an estimate and will not cover the cost of attending the more expensive private schools.
Finally, replacement income. If you do not have Income Protection in place then you definitely need to consider replacing the income you are not going to earn whilst you are sick. We have know patients to be off work for more than a year if they have had serious heart transplant surgery. Have you got enough cash in the bank to get you by for a year? Most people do not.
If you would like to work out how much Trauma Insurance cover you might require then click on the 'Calculate Trauma Insurance' button. Alternatively, if you would like to request a quote then select the 'Start Here' Button at the top of the page and proceed to 'Request a Quote'.