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TPD Insurance

Total and Permanent Disability Insurance

Total and Permanent Disability (TPD) insurance provides a lump sum payment if you suffer an illness or injury that permanently prevents you from working. TPD insurance helps you pay off debts, modify your home for accessibility, and maintain your lifestyle when you can no longer earn an income.

Who Needs TPD Insurance?

  • Anyone reliant on their income to pay bills
  • People with mortgages or significant debts
  • High-risk occupations (tradies, emergency services)
  • Families with one primary income earner
  • Self-employed business owners

Key Details

Waiting Period
Typically 3-6 months after disability
Benefit Period
One-time lump sum payment
Expiry Age
70 years old
Tax Deductible
No — Premiums are not tax deductible

Starting from

$32.50/month

Age 30, male, $500,000 cover

What TPD Insurance Covers

Lump sum payment if permanently unable to work
Covers both "own occupation" and "any occupation" definitions
Pays off mortgage and other debts
Funds for home modifications and medical equipment
Tax-free lump sum payment
Can be bundled with life insurance
Some policies offer partial disability payments

Common Exclusions

Most tpd insurance policies will not cover:

Pre-existing conditions not disclosed
Intentional self-inflicted injuries
Injuries from illegal activities
War or acts of terrorism (some policies)
Normal aging or gradual deterioration

Premium Examples

Indicative monthly premiums for tpd insurance. Your actual premium will depend on your health, occupation, and coverage amount.

AgeGenderCoverage AmountProviderMonthly Premium
30male$500,000Encompass$32.50
30male$500,000NEOS$33.68
30male$500,000TAL$51.96
30male$500,000AIA$53.52

Indicative premiums sourced from LRO API, March 2026. Profile: 30yo male, non-smoker, professional occupation, NSW, stepped premiums, monthly frequency.

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TPD Insurance Australia | Total Permanent Disability Cover | IMFL | Insurance Me For Life