Latest Poll – Trauma Cover Underdone?

Our latest poll seeks your view on the extent to which trauma insurance may be an under-utilised product solution for the clients served by your advice practice.

This question – which applies equally to risk specialist and generalist advice business propositions – stems from some concerning statistics shared by MetLife late last week (see: Advisers Urged to Revisit Trauma Insurance), where research it commissioned found:

• Half of working Australians have less than three months’ salary saved
• 41% of working Australians are living payday-to-payday

While income protection insurance products usually cover a proportion of lost income in the event of sickness or accident, the argument holds that trauma insurance benefits help cover medical gaps, mortgage repayments, rehabilitation costs and caregiving needs.

…trauma cover remains under-considered partly because it is generally not available through superannuation

Do you agree with the assertion, as stated by MetLife’s Meray El-Khoury, that trauma cover remains under-considered partly because it is generally not available through superannuation and therefore requires an active advice conversation with clients? Should your practice be more pro-active in ensuring more of your clients take out trauma cover appropriate to their circumstances?

Alternatively, are you comfortable that the vast majority of your clients hold sufficient and appropriate levels of trauma cover?

At a point in time where the industry is mostly pre-occupied with the future and fit-for-purpose nature of TPD insurance, let us know how your practice is tracking when it comes to trauma insurance. Tell us what you think and we’ll report back next week…