What is
Trauma Insurance
Trauma Insurance (some times called Critical Illness Cover) is a policy that pays out a lump sum dollar amount based on specific medical conditions. The policy is well defined as to what does and does not trigger a payment
Some of the medical conditions include:
- Cancer
- Heart attack
- Open heart surgery
- Coronary artery bypass
- Stroke
- Parkinson’s disease
- Motor neuron disease
- Multiple sclerosis
- Major organ transplant
- Dementia
- Loss of independent existence
- Quadriplegia
The medical conditions are very specific and most modern policies cover between 35 and 45 different conditions, it is also possible to include very specific add ons to a policy such as OnePath’s new Baby Cover which allows the attachment of extra conditions specifically related to Child Birth and Young Babies option, Needlestick option, Accidental Death, and Living Activities TPD option.
With such a range of conditions it is possible to get very large differences when comparing one policy to another in both the benefits the policy may offer and the cost of the policy.
Trauma Cover vs Health Cover
Trauma Insurance, is an insurance product that is designed to provide financial support in the event that you are diagnosed with or suffer from a specific medical condition, it is important to understand that both trauma cover and health insurance serve two very different purposes, and having health cover alone is not sufficient to protect you against serious illness or injury.
Expenses that arise from specialised medical treatments and long hospital stays can put great financial strain on the individual and their family, while Health Insurance can cover some hospital expenses and medical treatment. However, it does not provide coverage for additional expenses incurred through rehabilitation following a major medical event, this is where Trauma Insurance covers the rest of the financial burden and operates hand in hand with Health Insurance.
It is essential to consider Trauma Insurance as complementary cover to your existing health insurance and to provide comprehensive protection against more serious medical conditions.