Life can sometimes present you with unexpected, life-changing challenges, and the diagnosis of a potentially life-threatening medical condition would be right at the top of the list. Even scarier is discovering how the financial burden of a medical event like this can affect you and your family.

Fortunately, there are financial strategies you can put in place if this happens. One of them is taking out Trauma Insurance, or Critical Illness Insurance, as it’s sometimes called.

How it Works

The concept of Trauma Insurance is a little different to other insurances. You take out a policy, and the insurer agrees to pay you a lump sum if you experience a specified illness or injury. The policy is designed to help with specialist and medical bills, rehabilitation, home modifications, mobility devices, debt payments and anything else you may need. It’s often taken out in conjunction with TPD (Total and Permanent Disability) Insurance and Term Life Cover. However, Life Cover and TPD don’t insure for these costs.

What Type of Events are Covered?

Trauma Insurance varies quite significantly between insurers when comparing the medical conditions covered and their definitions. However, it pays out if you experience an event such as a heart attack, stroke, cancer, and other critical debilitating illnesses or injuries (e.g., head trauma from a motor accident).

Do I Need Trauma Insurance?

Getting back to normality is an obvious priority after a significant medical event. Having Trauma Insurance in place gives you peace of mind to concentrate on your recovery without worrying about your finances being affected. If affording medical care for a significant illness and/or replacing lost income because of illness or injury is a concern, you should seriously consider speaking to your insurance professional about Trauma Insurance.

How Do I Arrange Trauma Insurance?

Trauma Insurance can be quite complex, so it pays to use an insurance professional to ensure you get the right cover. Factors affecting your premium can include family medical history, general health, lifestyle, occupation, hobbies, pastimes, age, gender, and if you’re a smoker.

Your adviser can help you choose a reputable insurer, calculate the amount of Trauma Insurance you need, what you can afford to pay and how it should be arranged (e.g., whether to combine it with Life Cover).

What Happens if I Need to Make a Claim?

The last thing you need is the added stress of making a Trauma Insurance claim. By far, the easiest way is to have your insurance professional arrange it for you. They’re the experts in dealing with insurance companies so that everything runs as smoothly as possible without you having to worry.

What do I need to do now?

Riviera Wealth Partners provide tailored Financial Planning and Insurance advice to safeguard you and your family’s financial future.

For more information or to see how Trauma Insurance can help you, please contact us. If you have existing Trauma Insurance cover, we can review your policy to make sure it’s still right for your circumstances now and that it’s still cost effective for your overall financial goals.