Can I claim TPD and income protection at the same time?

Can I claim TPD and income protection at the same time?

The majority of superannuation fund members have insurance cover inside their super. This could include cover for death, total and permanent disablement (TPD), income protection and, in some cases, trauma cover. When a worker is sick or injured and unable to return to work, they may claim on disability insurance policies they hold. In this blog, we explain the circumstances where you can claim both TPD and income protection at the same time.

Can I claim both TPD and income protection?

If you find yourself unable to work due to an injury or illness, that is when income protection insurance and/or total and permanent disablement insurance come into play.

They are different insurance products which cover different circumstances, but there are times when someone might be able to claim both TPD and income protection at the same time.

The long answer is that, depending on the terms of the relevant disability insurance policies you hold, your income protection benefits could cease as at the date that you are accepted as being totally and permanently disabled and claim a lump sum TPD benefit.

This can be due to the definitions contained within the income protection policy for total and temporary disablement or partial and temporary disablement or because the policy specifically states that benefit payments will cease in these circumstances.

In some cases, a claims officer will review medical opinion/information provided in support of an income protection claim and actually determine that someone is totally and permanently disabled without any TPD claim having been made by the member (if they hold both types of cover).

The ability to do this internal assessment of total and permanent disablement will depend on the particular wording in the policy associated with ongoing disablement.

Can I start on income protection and then claim TPD if I can’t return to work?

In general, if you are in receipt of income protection payments, in order to obtain the maximum number of payments available to you, you need to understand what period you are covered for. It could be 12 months, 2 years, 5 years or even to age 65 years in some cases.

A TPD claim can be submitted towards the end of your income protection benefit period if it is the case that those income protection payments will cease on approval of your TPD claim.

You need to keep in mind that a TPD claim will likely take longer to assess and approve than an income protection claim. So, you could be in a position where you end up with no income at all for a period of time before you are approved for any lump sum insurance amount for TPD. 

Claiming both TPD and income protection at the same time (if eligible) can be a bit of a juggling act.

That’s where a trusted adviser can assist. If you’re considering your options to claim both TPD and income protection, we recommend you speak with a professional experienced in disability insurance claims first to ensure you protect all your entitlements.

We can make an enquiry on your behalf prior to you submitting a claim to ascertain:

  • your types of insurance cover;
  • the levels of cover you have;
  • your benefit period for income protection (and the waiting period before payments commence); and
  • whether or not any income protection benefits will cease on acceptance of a TPD claim.

A large proportion of our clients who have been injured at work have us undertake this enquiry for them whilst they are still in receipt of worker’s compensation statutory benefits. This allows them to be informed of their options in advance of having to make any decisions about what insurance benefits to claim and when.

Important note: although many of our TPD and/or income protection clients were actually injured at work, your injury or illness does NOT have to be work-related to claim TPD or income protection. Along with a raft of physical injuries that could make you eligible for disability insurance claims, there are also many illnesses/diseases, including:

  • Mental and psychological illness;
  • Cancer;
  • Parkinson's disease;
  • Multiple sclerosis;
  • Bi-polar;
  • Leukaemia;
  • Chronic fatigue syndrome; and more.

Get help from a disability insurance professional

Hall Payne’s disability insurance professionals assist with a range of claims, including TPD, income protection and trauma insurance.

If you haven’t yet commenced your claim, having someone on your side who understands the claims process as well as the insurer’s obligations and the legal terminology is often the difference between having your claim accepted or rejected by the insurer.

If your claim has been denied, is taking too long, or you have any other concerns in relation to TPD, income protection or death benefits, get in touch with a member of our superannuation and insurance team.

Contacting Hall Payne Lawyers

You can contact us by phone or email to arrange your consultation; either face-to-face at one of our offices, by telephone or by videoconference consultation.

Phone: 1800 659 114

  This article relates to Australian law; either at a State or Federal level.

The information contained on this site is for general guidance only. No person should act or refrain from acting on the basis of such information. Appropriate professional advice should be sought based upon your particular circumstances. For further information, please do not hesitate to contact Hall Payne Lawyers.


Get in touch with today's blog writer:
Leanne Taylor

Paralegal and Migration Agent in

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