What is TTD?
If you have temporarily become unable to work due to a disability or illness, you may have a claim. Similar to TPD cover, income protection benefits provide financial support to those unable to work, in the form of usually monthly ongoing payments.
Can I claim TTD?
To qualify for income protection benefits or TTD, you will need to provide evidence of your illness or disability. Same as with TPD claims, the cause of your disability or illness is irrelevant. They provide valuable protection after you have used up your sick leave with your employer.
This of course varies from case to case, so it is important that you enlist the help of a legal professional or contact your Super Fund and/or insurer to see where you stand.
Income protection benefits will only be paid for a set period – commonly 2 or 5 years. There are some policies which will pay to age 65 or older. The policy will generally pay a percentage, commonly 75%, of your usual wage or salary. This, of course, varies from case to case, so it is important that you enlist the help of a legal professional to determine your correct entitlements.
In some policies total disability does not mean unable to work at all – it can simply mean that you are precluded from performing some of the major duties of your job. If you can still work but are on restricted duties and that is costing you money, then you may be able to claim.
What is the waiting period?
Often there are waiting periods which apply before you will be eligible for payments. This can be 14, 30 or 90 days, or longer.
The actual benefits paid are usually calculated by reference to a formula contained in the insurance policy. They will sometimes exclude parts of your remuneration, like overtime or penalties, along with other allowances. It is important to check that you are getting paid the right amount.
Some insurers will attempt to cease benefits early if a doctor provides a report saying you are now capable of working. Depending on the relevant definitions in the policy it may not be enough for a doctor to simply state you are now capable of returning to work if that is not possible for other reasons.