Suffering a total and permanent disability is life-changing; physically, emotionally, and financially. In Australia, TPD (Total and Permanent Disability) insurance provides a vital safety net, offering a lump sum payment to those unable to return to work due to severe illness or injury. A common and confusing question arises for many Australians: Can you make multiple TPD claims?
The answer isn’t always straightforward if you’ve had multiple jobs or superannuation accounts over the years. Many Australians hold more than one super fund, each containing its own TPD insurance policy. This raises questions about eligibility, legal entitlements, and the risks involved in lodging multiple claims.
Understanding your rights under multiple superannuation policies is essential. Navigating this space without proper legal guidance can lead to missed entitlements or even claim rejections.
If you’re unsure about your eligibility or need personalised legal advice, speak to our experienced TPD lawyers in Sydney today.
Understanding TPD Claims in Australia
TPD insurance is designed to provide financial protection to individuals who can no longer work due to a permanent disability. In most cases, it pays a lump sum if you meet the policy’s definition of total and permanent disability.
In Australia, TPD cover is commonly attached to your superannuation fund. Whenever you change jobs and sign up with a new super fund, you may receive group TPD cover.
There are two main types of TPD insurance:
- Group TPD Cover: Provided through your superannuation, automatically included when you join a fund.
- Retail TPD Cover: Purchased directly from an insurer, offering more tailored or comprehensive coverage.
Your TPD claim eligibility depends on several factors, including your work history, medical evidence, and the wording in your policy. Since each policy may have slightly different definitions of “total and permanent disability,” understanding the specifics of each is critical.
Can You Make More Than One TPD Claim?
Short answer: Yes, you can, under the right circumstances.
If you’ve worked for multiple employers or opened different superannuation accounts, there’s a good chance you may hold multiple TPD insurance policies. In such cases, you may be entitled to make multiple TPD claims, provided each policy is active and you meet the definition of disability for each one.
Common Scenarios Where This Happens:
- You changed jobs and opened a new super fund each time.
- You hold retail TPD cover alongside your group super cover.
- You consolidated your super, but older policies were still active at the time of disablement.
Legal Considerations to Keep in Mind:
- Each policy must be assessed individually. You’re not claiming the same benefit multiple times from one policy, but separate entitlements from separate contracts.
- Time limits and claim requirements differ between insurers.
- Full disclosure is essential to avoid issues around non-disclosure or perceived fraud.
With the right legal strategy and documentation, it’s lawful to make multiple TPD claims, as long as you meet the eligibility requirements for each.
Myths About Multiple TPD Claims
There’s a lot of misinformation about TPD claims when claiming from more than one policy. Let’s set the record straight.
Myth 1: “You can only claim TPD once in your lifetime.”
False. You can claim multiple times if you hold multiple active TPD policies. Each policy is treated as a separate contract.
Myth 2: “If one claim is accepted, others are automatically rejected.”
Incorrect, acceptance or rejection of one claim doesn’t affect the outcome of another. Each insurer will assess your case based on its policy terms and definitions.
Myth 3: “It’s insurance fraud to lodge multiple TPD claims.”
Wrong, lodging multiple legitimate claims is not fraud, as long as all disclosures are made honestly and the claims are backed by valid medical evidence. Legal professionals can help ensure compliance.
Understanding these facts can help you avoid costly mistakes or abandoning entitlements you’re legally owed.
Legal and Practical Challenges in Making Multiple TPD Claims
While making multiple TPD claims is legal and sometimes beneficial, it’s not without its challenges.
– Coordinating Between Insurers
Every insurer has its own process, definition, and documentation requirements. Managing these simultaneously can be overwhelming.
– Overlapping Definitions
Different policies may define “total and permanent disability” in various ways, some more strict than others. You may meet the definition under one policy, but not another.
– Disclosure Obligations
You must be transparent about:
- Other claims are being made
- Previous claim outcomes
- Your medical history and employment background
Failing to disclose this can result in claim delays, rejections, or allegations of misconduct.
Legal Representation Makes a Difference
Having a professional legal team in your corner helps:
- Organise and prepare documentation for multiple claims
- Avoid contradictions in applications
- Negotiate and liaise with multiple insurers
How TPD Lawyers Can Help You Navigate Multiple Claims
Dealing with one TPD claim is stressful enough, let alone several at once. That’s where a skilled legal team becomes invaluable.
Here’s how our TPD lawyers in Sydney can help:
- Clarify your eligibility under each policy
- Prepare and submit strong applications tailored to individual insurers
- Avoid common errors that lead to delays or denials
- Maximise your entitlements across all valid claims
- Communicate with insurers and ensure nothing is overlooked
Working with professional TPD claim lawyers not only reduces the stress but also increases your chance of securing the full compensation you deserve.
Final Thoughts
If you’ve suffered a total and permanent disability, knowing you may be entitled to more than one TPD payout can make a life-changing difference.
But multiple claims come with legal complexity, paperwork overload, and the potential for costly mistakes. The good news? You don’t have to go it alone.
Thinking about making multiple TPD claims? Contact JI Solicitors & Associates today for a free initial consultation. Our Sydney-based TPD lawyers are here to help you secure the benefits you deserve.