It is surprising that many people do not know that their superannuation may include insurance which offers certain benefits if they are unable to work on a temporary basis or permanently, in an occupation for which they have the education, training or experience.
In may instances, details of the insurance cover is included in the persons annual superannuation statement. Occasionally, the person my have the insurance cover pursuant to a policy not forming part of the persons superannuation arrangements.
Income protection insurance, as the name implies, provides a disabled worker with income payments calculated at a certain percentage (usually 75% plus super) of the persons pre disability income, limited to a certain period of time eg 27 years.
The injured worker may also qualify for a lump sum total and permanent disability payment depending on whether the worker’s circumstances fit within the definition of “Total and Permanent Disablement” in the relevant policy.