Finding a TPD policy – Do read the fine print!

A smiling family saves money with a piggy bank. Happy family at the table in the room.

With increased awareness amongst people, everyone today tries to buy insurance policies based on their lifestyles, so that their families are not troubled in the future in case of an eventuality. From life insurance to health insurance and everything in between, depending on your occupation and lifestyles one can opt for an insurance protection.

What kind of insurance protection can skilled professionals opt for?

Today insurance companies offer a protection plan especially meant for skilled professionals like in the medical field. It is called total and permanent disability protection plan.

What is total and permanent disability (TPD) insurance?

TPD is a kind of insurance, wherein, if the insured person suffers an injury due to which he/she is unable to work in professional capacity in their field of expertise permanently then the insurance company will pay them, based on the policy taken.

How does one choose the correct TPD insurance plan?

A lot of factors need to be considered when one is out to buy any kind of insurance policy. This is because, technically, the only reason a person is buying insurance is to safeguard themselves financially against any future problems that could arise. Similarly when setting out to find a suitable policy for TPD plans one should be very careful to read the fine print in order to be able to avail the full benefits at the time of availing.

What does one need to know in a TPD protection plan?

One will come across various big insurance companies who offer TPD plans. What needs to be seen is their terms and conditions of disbursement. Each company has their own definition of disability. Let us have a look at a few of them:

  • A person is liable to receive the payment only if they cannot work permanently in their field of expertise (like a surgeon is unable to perform any surgery due to any kind of disability in his body) as well as cannot earn money from an alternative source of work that is not related to their field of expertise.
  • A person is liable for a payout if they are permanently unable to work in their field of expertise and will not earn money through any other means until they are 65 years of age.
  • A person is liable for a payout in case they are permanently unable to work in their expertise but can earn money through other sources either related or unrelated to their field of expertise.

Obviously the last definition of disability is what makes sense. But being able to find a company that offers such a definition can be quite a task if you are a first timer buying insurance.

Who can help deciphering these nitty gritty details in the protection plans?

Companies like iSelect come to your rescue at these points. Having all major insurance companies on board, they give you a comprehensive and detailed comparison across companies. It makes choosing the correct plan basis your budget and requirement very easy. They also have expert advisors on their team you can chat with in case you have any doubts or queries.

So if you do venture out looking for a TPD plan, do check once with iSelect on their website!