Trauma (Critical Illness) Insurance

What if you, or your partner,
were the one who needed looking after?

Sometimes even the healthiest people suffer accidents or get diagnosed with diseases they had no chance of preventing – like cancer, stoke or heart attack.

A life-threatening sickness or injury has wide-reaching financial repercussions for any family (or if a SME Business Owner, your colleagues and employees). It could stop you from working. Maybe even keep you in need of constant medical care.

What if your partner suffered a trauma event and you had a family? Who would look after the children and home?

The chart shows a breakdown of caused of benefit payments made in 2007 by a major Australian insurer. Note cancer was the most common cause.

For the analytically minded, the chart shows probability of death by age 65, given a current age.

Observe that

• males are more likely to suffer a trauma event than females
• trauma event is suffered by (say) 40-year olds: 1 in every 3.5 males; 1 in every 4.5 females.

Trauma insurance provides a one-off lump sum in the event of a specified trauma event. The lump sum could be used any way you want: cover debt reduction/elimination, costs related to making lifestyle adjustments, necessary home and/or car modifications, medical treatment costs, work alterations and peace of mind etc.

SME business owners suffering a trauma event who do not return to work can receive a payout compensating them for their share of the business.

At Archimedes Financial Planning, we work closely with our clients to find their trade-off between investment for the future assuming no trauma event occurs versus investing in trauma insurance now to protect dependants should you suffer a trauma.