Making a Life, TPD, Trauma, or Income Protection Claim

Insurance is designed to protect you (and often your loved ones) when something negative and unexpected happens.

s640q75It’s a bit of a cliché, but the best insurance is one you never have to make a claim on.

Insurance is designed to protect you (and often your loved ones) when something negative and unexpected happens. In the case of life insurance products, it’s usually designed to cover you for unexpected accidents, disasters, and other losses.

Never making a claim on your life insurances means that you never experience any of these untoward events. And I don’t think any of us would complain about that!

However, if something does go wrong, and you experience a loss or other circumstance that’s covered by your insurance policy, then the good news is that you’ll be able to make a claim. This article discusses – in general terms – how you should go about doing that.

Minimising Stress

If you’ve just experienced a trauma or the loss of a loved one, or if you’re currently sick or injured, then chances are you’re already experiencing a great deal of stress.

That’s one of the reasons you’ll often hear advice about getting insurance through a financial advisor. If you take out insurance with an advisor, then when it comes time to make a claim, they’ll be able to guide and assist you through the process. They may even advocate for you if the insurance company is trying to avoid paying. This added support from a financial advisor is designed to minimise any additional stress during an already stressful time.

Keeping Loved Ones “In The Loop”

In the case of term life insurance (often just called “life insurance”), or in situations where you’ve been incapacitated, your loved ones may need to make an insurance claim on your behalf. To do so, they’ll need to know who your insurer is, and/or who your financial planner is. Do your loved ones know that information?

Claiming Through Your Advisor

In my experience, the following steps help to ensure that making an insurance claim will be as easy as possible:

  • Contact your financial advisor as soon as practical after the event occurs
  • Organise any documentation or other information that may be required, such as medical evidence, doctors’ reports, your ID, a death certificate, and financial evidence for income protection (this is by no means an exhaustive list, so talk to your financial planner to discuss what you need to provide)
  • Keep your paperwork together so it’s easy to access and use
  • Don’t be afraid to ask questions – after all, your financial advisor is there to help you!

Every situation and circumstance is different, so I can’t stress the last point enough – talk to your financial planner and ask questions so you can discover exactly what you need to do.

Claiming Without a Financial Advisor

As discussed, taking out insurance through a financial advisor should make claims time much less stressful. They will help you make the claim, at no additional cost to you.

That said, if you have an insurance policy that you’ve taken out independently, you can of course still make a claim for the events and circumstances that your policy covers. Most financial advisors won’t be able to help you with your claim. However, if you need assistance with a claim, we’re happy to help, for a fee.

Any Questions?

If you have any specific questions about what we’ve discussed in this article, pleaseleave a note in the comments, or give K2 Wealth a call on (07) 3368 2002. We look forward to helping you better understand the insurance claims process.


Information current as at 26 March 2015
Any advice contained in this article is general in nature only. Before acting you should consider the appropriateness of the information with regard to your personal objectives, financial situation, and needs. You should read the relevant Product Disclosure Statement (PDS) and Policy Document before making any decision about a product. For personalised life insurance advice, contact K2 Wealth on (07) 3368 2002.