19 Aug Risk of Not Having Trauma Insurance
There is great risk associated with not having trauma insurance. Life insurance will benefit your loved ones if you die, but what if you were to be injured without dying? You could be so severely injured so that you were unable to work for months or even ever again. With no work ability there is no income – at least not the kind of income that you have been used to, and rely on to pay the bills and give the children a good education.
Trauma insurance is a payment that is given when a person has suffered a trauma event such as severe illness or accident. Modern technology in medicine means that often people live after a trauma event where years ago they would have died. This means that there are more people who need to replace their lost income – or suffer the consequences. And knowing that you have no trauma insurance cover will certainly make your recovery more difficult as you fret over how those bills will be paid. And of course, people are now living much longer, which means they are even more likely to suffer from a trauma event.
But if you have trauma insurance your mind will be at ease and able to focus more on recovery rather than worry about bills. Trauma insurance will provide a lump sum payment as soon as it is established that a trauma event has occurred and what the disability is.
What is covered varies with each policy so you need to be sure of what you are getting; look at each one carefully before choosing the most suitable. Even if you have income protection insurance, you or your spouse should still have trauma insurance, because the only criteria taken into consideration for payment is whether you suffered a trauma event that is included in the policy, not whether you are capable of making income.