Wealth Sep 20, 2021

Talk with your financial planner before you claim on insurance

4 min read


Did you know that even if you never stopped working, if you’ve experienced an injury or illness, you might be able to make a client on your insurance policy?

The main reason people take out income protection is to ensure their income is covered should they ever need to have time away from work due to sickness, illness or injury. The same applies for trauma cover, people take out a policy to help cover their expenses in the event they experience a traumatic medical event.

What lots of people don’t realise, is that many policies may contain ancillary benefits which can allow you to claim for other medical incidents, even if you don’t stop working or see out your wait period.

It’s called a Specific Injury Benefit

Entourage were able to help a client claim 3 months’ worth of benefits on their income protection cover after the fractured their leg. How? They had a specific injury benefit on the policy providing a set 3 months’ worth of benefits payable for a fractured femur. A specific injury benefit provides a set amount of benefits paid if you experience one of the injuries covered.

Other benefits could include a Rehabilitation Benefit if you need to attend rehabilitation with an occupational or vocational therapist, payments for total or partial disability and payments for recurring disability which mean you don’t have to serve your waiting period again.

Lots of people may not realise just what benefits their policies offer, which is why it’s important to contact your advisor if you suffer a health event which requires medical intervention or treatment.

First check your health insurance, then check your personal protection insurance

When it comes time to claim on your health cover (for example if you’re going to hospital for something) it’s worth getting in touch with your financial advisor too. A quick email might mean you’re able to make the most of the benefits you’re paying for via your personal protection insurance too.

Our client mentioned above, a lawyer, was able to receive upwards of $40,000 via his policy. Had he not had a quick chat with our team, he’d never have made the most of the benefits on his policy for his fracture.

Get in touch

Not sure what you are currently covered for or think you might be able to claim? Get in touch, our team can review your policy schedule and PDS and assist you through the process.