1. What is a Total & Permanent Disability Benefit or a TPD Benefit?
   A total & permanent disablement benefit, or a TPD Benefit, is an insurance benefit.
2. Who can claim a TPD benefit?
   Anybody with TPD insurance can claim a TPD benefit if they can’t work because of ill health. The reason for their ill-health is not relevant to their right to claim.
3. Who has TPD insurance?
   If you have ever worked, even if it was years ago, you probably have TPD insurance. TPD insurance is attached to your superannuation fund, and often automatically provided when you join a superannuation fund.
4. Is that the same as the money my employer must pay to my superannuation fund?
   No, that is separate. The money paid by your employer into your superannuation fund is called your superannuation account balance.
5. What is the difference between my superannuation account balance and a TPD Benefit?
   Your superannuation account balance is the accrual of money your employer must pay into your superannuation fund, which is worked out as a percentage of your income.
   So, on 1 July 1992, when superannuation became compulsory, your employer had to contribute the equivalent of 3% of your income into your superannuation fund. Over the years, this amount has increased, and from 1 July 2024 it is 11.5%. This amount will again increase on 1 July 2025 to 12% of your income.
   A TPD benefit is an insurance benefit separate from your superannuation account balance that becomes payable if you can’t work because of ill health. You pay for your TPD insurance through insurance premiums that are deducted from your employer contributions. TPD benefits are usually paid as a lump sum.
6. Can I be paid a TPD benefit and my superannuation account balance?
   Yes. If you are entitled to make a TPD claim, and the claim is successful, you can be paid a TPD Benefit, and you can also claim your account balance.
7. How do I know if I have TPD cover attached to my superannuation fund?
   Each year, your superannuation fund sends out an Annual Benefit Statement showing you how much money you have in your superannuation account. This Statement should also tell you if you have TPD insurance attached to your superannuation fund.
8. Can I lodge a TPD claim myself?
   Yes. You can lodge the claim yourself, but it’s a process that can go wrong, so it helps to know what you’re doing. You have an accountant to do your taxes and a mechanic to service your car, so you should have a lawyer for your legal matters.
9. If I’m receiving Workcover or TAC, can I still lodge a claim for a TPD Benefit?
   Yes, you can lodge a TPD claim even if you claim or receive Workcover or TAC benefits. However, in certain circumstances, receiving payments from your superannuation fund can impact your payments, so care needs to be taken in this process.
10. What else do I need to know?
    There is plenty to know that is not covered here. As the usual legal disclaimer goes – the information here is of a general nature because legal advice always depends on your circumstances.
    As most of us know, life is a knowledge game. We learn by sitting in a chair! I’ve been sitting in that chair for more than 25 years, so if you have any questions about the process or need help, please contact me. I’m happy to help, and if you want me as your lawyer, I’ll act for you no win, no charge.

Contact

Please call me on (03) 9969 7077 or email me at info@leonardwelch.au and I’ll arrange a time to either come and see you at your house or a place convenient to you or to arrange a phone appointment or video conference. 

Leonard & Welch – the original (and the best) super lawyers!