Trauma Insurance

Also known as Critical Illness Insurance, Trauma Insurance pays a lump sum in the event that you suffer a medical trauma that impacts your life and lifestyle. More than 50 different trauma events may be covered including a heart attack, stroke, cancer, diabetes, Alzheimer’s disease, loss of limbs, and brain tumours.

In the event of a trauma, you and your family can use the lump sum to:

  • Pay for lifestyle changes and rehabilitation. Some medical conditions can affect your mobility or cause disablement and you may need to purchase items or modify your home to help you cope with these changes,
  • Allow you, and your partner if necessary, to take some time off work to assist in recovery, and
  • Pay off debts.

Trauma Insurance is not a replacement for Income Protection or Private Health Insurance. It’s designed to help pay off debts and the costs of rehabilitation. You could use the money to pay for specialists or medical bills, make modifications to your home, pay off your mortgage or cover rental payments.

Does Trauma Insurance differ between Insurers?

There may be significant differences between Trauma Insurance products from different insurance companies. These differences can include the number of medical conditions covered, but also the definitions of these particular medical conditions. It is important to consider the definition of each condition when selecting which product to purchase. Many companies will offer both basic and comprehensive policies, so you can choose what level of coverage fits your budget best.

How much does it cost?

Trauma Insurance is relatively more expensive compared to other forms of Life Insurance. Like other Life Insurance products, Trauma Insurance premiums are personalised for your situation. They can vary according to:

  • Age
  • Gender
  • Smoking status
  • Personal and family medical history