All too often, people in Australia with a total and permanent disability due to an injury or illness don’t make Total and Permanent Disability (TPD) claims even though they may be eligible for a TPD benefit. Many either don’t know Total and Permanent Disability insurance cover is available to them in their Superannuation, they feel they don’t deserve it, or it sounds too stressful to go through the process of TPD claims.
Total & Permanent Disability Insurance Benefits
A Total and Permanent Disability insurance policy, a TPD claim and benefit can be confusing to the layperson. However, if you’ve stopped work due to an illness or injury, making successful Total and Permanent Disability claims and receiving a TPD benefit in a lump sum payment can make a significant difference to your life. A large lump sum Total and Permanent Disability payout can give you essential retirement savings that you can live off as you get older. Or the TPD payout may be used to enhance your quality of life now.
The TPD Date of Disablement and TPD Waiting Period
It’s crucial when making a Total and Permanent Disability insurance claim that you have stopped working due to illness or injury. The date you suffered the injury or were diagnosed with the illness that caused your Total and Permanent Disability and made you stop work is called your Date of Disablement. Importantly, this date is not necessarily the date your employment was terminated, or when you quit work or were sacked.
There is also what is called the ‘Total and Permanent Disability waiting period’ which is normally from three to six months. If you work during the Total and Permanent Disability waiting period, it will have an impact on your TPD benefits and claim, which could lead to a rejection, even if you return to work for a short period or on limited duties.
Returning to Work After a Total and Permanent Disability Insurance Claim
Whether you can return to work after a successful Total and Permanent Disability payout will depend on the definition of Total and Permanent Disability in your TPD insurance policies’ product disclosure statements. The definition of Total and Permanent Disability differs from policy to policy, so to be sure about returning to work after a TPD claim, you need advice from a lawyer like those at the TPD Helpline. However, in general, a Total and Permanent Disability claim means one or more of the following summarised situations:
- You can never work again within your experience, training and education.
- You can never work again within your regular, usual or own occupation.
- You are unable to perform your daily living routines or activities.
- You have lost your vision or the use of two limbs.
Total and Permanent Disability Education, Training and Experience Definitions
In most Total and Permanent Disability cases, you must have stopped working due to illness or injury that makes you permanently unable to work within your education, training or experience. But what does this mean?
Say you have to stop working in your own occupation because of illness or injury and there are no tasks you can perform in your usual job. If you would need retraining or reeducation to do another kind of work, you may be entitled to a Total and Permanent Disability benefit. The court will decide if the retraining is significant enough to allow a TPD claim payout.
Total and Permanent Disability Own Occupation Definition
To qualify for a Total and Permanent Disability payout under the own occupation TPD claims definition, you must stop work and be unable to perform in your own occupation due to your injury or illness.
To qualify for Total and Permanent Disability benefits under this and other definitions, your specialist or GP would need to supply notes and evidence of the duties of your own occupation and provide medical evidence to show you can’t perform these duties. There is a chance that you can go back to work in a different job after or during a successful TPD claim or Total and Permanent Disability payout with no effect on that claim.
Total and Permanent Disability Activities of Daily Living Definition
The precise requirements and wording of this Total and Permanent Disability definition vary from one insurance policy to the next. But it usually means you are unable to do any two of these five things without help from another person.
- Moving (walking)
- Bathing
- Dressing
- Toileting
- Eating
If you can use an aid, you may not satisfy the requirements of this Total and Permanent Disability claim definition. But an improvement in your condition may allow you to go back to work without an adverse effect on your lump sum TPD benefit.
Total and Permanent Disability Loss of Use of Limbs Definition
The requirements and definitions of a Total and Permanent Disability insurance policy may be worded differently between policy providers. However, it usually means you must have lost the use of the following:
- Both legs
- Both arms
- One leg and one arm
- The sight in one or both of your eyes
Total and Permanent Disability Insurance Definitions Can Change
Be aware that if you change your work hours or duties under some Total and Permanent Disability insurance policies it can change the TPD claim definition. If you work fewer than 20 hours a week when you stop work due to illness e.g., your TPD claim may be assessed under the more difficult-to-satisfy Total and Permanent Disability definitions of activities of daily living or loss of limbs.
Get Help From the TPD Helpline
Before lodging a Total and Permanent Disability claim, speak with one of our experienced lawyers at the TPD Helpline. We work hard to help you receive the full entitlement in a successful TPD claim and lump sum TPD payout for your total and permanent disability. Contact us here, call 1300 679 222 or email tpdhelpline@gmail.com.
