What is the difference between TTD and TPD claims?

New superannuation laws came into effect from 1 July 2019. The new laws brought about several changes, including automatic cancellation of insurance for inactive accounts. These changes may have left you wondering what insurance is actually provided through your superannuation account?

Those contributing to a superannuation fund are usually covered for total and permanent disability (TPD) insurance by their fund, but many people are unaware of what TPD is and what it means if they are injured. Let’s take a look.

What is a total and permanent disability (TPD) claim?

Most people are able to make a TPD claim through the TPD insurance cover included with their superannuation. 

If you have been injured either mentally or physically and you are no longer able to work in your normal occupation or any other job related to your training or experience, then you may be able to make a TPD compensation claim. 

Total and permanent disability doesn’t mean you are unable to work, it means you can no longer work in the industry, or perform a job for which you are skilled. For example, a builder who suffers a severe back injury may be eligible to make a TPD claim. 

What is a total and temporary disability (TTD) claim?

Depending on your insurance cover, you may be eligible to make a TTD claim for lost income which also often referred to as an income replacement claim. An injured person may make a TTD claim when they cannot work in their trained profession for a certain period. For example, a factory worker who breaks their leg may receive TTD payments for a two-month period while their leg is healing. 

The main difference between TPD and TTD is that while TPD is permanent and involves a lump sum, TTD is temporarily claimed for a specific period of lost income. 

How much can you claim?

The amount you receive will depend upon your insurance cover and your normal income. 

Exclusion and eligibility clauses can also affect how much you receive and if you are eligible to make a claim at all. 

If you think you have a TPD or TTD claim, speak with a specialist injury compensation lawyer at Taylor & Scott Lawyers. Our experienced team has a proven track record helping those with a TPD or TTD injury get back on track. 

Call 1800 600 664 or contact directly through the Taylor & Scott website.

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