Total & Permanent Disability (TPD)
Total & Permanent Disability (TPD) insurance is additional to life insurance cover. It pays a lump sum if you can’t ever work again because of illness or injury. TPD can be used to repay your debts, cover capital gains tax liabilities and cover your dependants for the loss of your income.
The precise definition of TPD and the conditions that must be met to receive compensation vary considerably between insurance companies. So it’s important you understand the conditions under which the insurance company will pay a claim before taking out TPD cover.
