Jury Still Deliberating on Future of Any Occupation TPD

Our latest poll has delivered a mixed result when it comes to whether advisers will reconsider their approach to advising on Any Occupation TPD cover benefits.

As we go to print, 43% of advisers taking our poll have indicated a recent court ruling that effectively removes the distinction between ‘unable’ and ‘unlikely ever’ TPD definitions will not change their approach to advising on TPD insurance.

The recent ruling, which was mostly focused on other areas of contention, addressed the issue of ‘unable’ and ‘unlikely ever’ definitions attaching to Any Occupation TPD definitions (see: Critical Court Decision Removes TPD Distinctions). But more than one in three advisers (36%) said this court case outcome would indeed have an impact, while around one in five of those taking our poll (21%) remain undecided.

Answering ‘no’, however, did not necessarily indicate a ringing endorsement for Any Occupation TPD definitions; one adviser commenting:

…this ruling may …lead to advisers ceasing to recommend Any Occupation TPD cover in future

“While you have to acknowledge it’s now potentially going to be harder to claim, I answered ‘no’ because I didn’t strongly recommend it before and that won’t change…”

In response to our original story, we received a comment that suggested this ruling may signal a return to the 60’s and 70’s where the adviser said a client would have to become a ‘vegetable’ by definition in order to get a TPD claim paid under an Any Occupation cover, which he suspected would in turn lead to advisers ceasing to recommend Any Occupation TPD cover in future.

Another adviser sees this court ruling as an outcome that would support the argument to introduce an ‘industry wide core definition’ of TPD that can be consistently tested against every claim.

This is a difficult question, and we’ll closely monitor the product manufacturers as they digest the implications of this court ruling and how it may impact their future approach to TPD definitions. Meanwhile, our poll remains open for another week to allow you to cast your vote and make your voice heard…