What Do ‘Own Occupation’ And ‘Any Occupation’ Cover Mean When It Comes To TPD Insurance?

 

Living with a disability is challenging, and it is even more difficult when you cannot earn money for yourself. We need to take care of many expenses as an adult, such as utility bills, debt and mortgages, or rent. When you are permanently disabled, medical and rehabilitation costs are added to your list of expenses.

In this situation, total and permanent disability insurance is crucial; it not only allows you to stay on top of your expenses but also offers you peace of mind. Total and Permanent Disability (TPD) insurance pays you a lump sum if you become permanently disabled due to illness or an accident and cannot ever return to work.

Getting a TPD insurance quote is easy, but what is challenging is knowing what policy type suits you the best. You can insure yourself with a total and permanent disability insurance policy in two ways – ‘own occupation’ and ‘any ‘occupation’.

‘Own Occupation’ – This enables you to claim your total and permanent disability benefit if you are unable to work in your usual occupation, i.e. the field you have chosen to work.

‘Any Occupation’ – You can claim on your TPD insurance if you cannot work in any occupation you are suited to by the education, training or experience you have. For example, if you are working in a particular field and you then you become disabled as a result of an accident or illness; while you may not be able to perform the same position, but you can still work a desk job in that area of work, you would not be able to make a TPD claim under ‘any occupation’ cover.

Own Occupation cover is more expensive than ‘any occupation’ cover as the chances of claim approval is higher in this type. However, the occupation categories covered under ‘own occupation’ are limited. This mainly works if you have a specialist occupation like a surgeon. Also, this type of TPD insurance is only available outside superannuation from a general insurer.

 

Depending on your occupation, and if you chose ‘own occupation’ or ‘any occupation’ will determine the cover type of your TPD insurance. Credit: Unsplash

 

Any occupation cover is more affordable but has a higher threshold to claim.

The most recommended way to get yourself covered is through your own occupation. It offers the highest opportunity to make a successful claim, and you can make a claim even if you can work in a different sector.

You can also elect to have a combined own & any occupation policy, whereby you are insured for both situations. This allows you to save some money on the premium but also ensures you have some cover for both situations.

Now that you know about both types of total and permanent disability insurance cover, you will be able to make the best and most informed decision. However, another crucial part of buying total and permanent disability insurance is finding the right insurance provider.

Aspect Underwriting is a boutique insurance agency in Australia that can provide you with total and permanent disability insurance online. They provide the most effortless process from getting a quote to purchasing cover; no meetings or calls are required. You are just a few clicks away from being covered.

Aspect UW can also provide you with a complete accident and health cover package, including income protection insurance, accidental death and trauma insurance, and total and permanent disability insurance.

Their intelligent online cover builder allows you to combine any of the above policies and build a package suited to your needs. Do not delay any further; visit the Aspect Underwriting website today and get a TPD insurance quote and cover yourself now!

Mike Wallis

Mike has over 25 years experience, having spent his first seven years working as a Broker at Jardine Lloyd Thomson in Melbourne and in 2002 was transferred to JLT’s Accident and Health Department in London. For four years (2002 – 2005) Mike was a specialist A&H Lloyd’s Broker and during this time developed excellent relationships with the Lloyd’s A&H underwriting fraternity. In 2006 he returned to Australia in a senior broking position with overall responsibility for Placement Strategy, including the implementation of underwriting facilities and the various authorities granted by Lloyd’s. Mike was the underwriter at two specialist Underwriting Agencies prior to founding Aspect Underwriting in 2016.

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