If you’ve had an injury or you suffer from an illness that prevents you from working, you may be entitled to early release of your superannuation or to an insurance payout attached to your superannuation known as Total and Permanent Disablement (TPD). You may also be entitled to income protection payments.
Most workers are covered for TPD insurance through the superannuation contributions paid by their employer. Sometimes TPD cover can also be attached to a life insurance policy arranged for you by your insurance broker or financial adviser.
Like TPD insurance, many workers have income protection insurance attached to their superannuation, to cover them for loss of income in circumstances where they are temporarily unable to work because of an injury or illness.
Claiming for TPD or Income Protection
You are usually entitled to a TPD payout if you can demonstrate that you’re unable to work in your normal job or in any other employment for which you are trained or experienced. You don’t have to be unfit for all forms of work, only that you can’t find work that suits your skills and experience.
If your ability to work is temporary, for example while you’re recovering from an injury, then you may be eligible for income protection payments.