Trauma Insurance

What is Trauma insurance?

Trauma insurance is very similar to life insurance however benefits are paid to the life insured on the diagnosis of a traumatic event as opposed to death.  There are about 50 or so trauma events that you are covered for under a typical trauma policy, however heart disease and cancer make up the bulk of all claims.

Why do you need Trauma insurance?

It is typical for someone to spend several months or even more in hospital on the diagnosis of a traumatic event.  This leads to time away from work and therefore the likelihood of no income being generated, even though financial commitments still need to be met.  Trauma insurance will provide a lump sum payment which can be used to supplement lost income, pay off any debts or assist with any medical expenses.

Everyone can benefit from trauma insurance as unfortunately we are all at risk of suffering a traumatic event at some stage in our lives.  Trauma does not discriminate against gender, health or age and will definitely have an impact on an individual, a business or a family’s financial situation.

A traumatic event will obviously affect one’s ability to do their job and therefore earn an income.  This is also true for a non-working spouse as the income earner of the family may have to take time away from work to either help look after the trauma sufferer or any dependant children.  For this reason it is very important for any spouse or carer of children to also consider the cover to provide financial assistance for any time away from work.