If your disability arises from a work-related injury or motor vehicle accident, you may be entitled to benefits from workers' compensation, CTP (motor vehicle insurance), or state-based schemes (such as TAC in Victoria or icare in NSW) in addition to your Income Protection policy. Most IP policies include 'offset' clauses that reduce your IP benefit by the amount you receive from these other sources, to prevent total replacement exceeding the policy's stated cap. For example, if you receive 50% of your income via workers' compensation, the IP policy may pay only the remaining 20% to bring you up to the 70% APRA cap. Some policies don't offset against certain government benefits (such as JobSeeker), while others do. The offset usually applies to the gross benefit amount (before tax). It's important to disclose any other compensation or benefit sources to the IP insurer at claim time, as failing to do so can result in claim rejection. The advantage of the offset structure is that you don't lose your IP cover — you still have a safety net if other schemes don't pay or end early. Workers' compensation typically has shorter payment periods than IP, so once those benefits cease, your IP often steps in to fill the gap until the end of your benefit period.