What if you suffered a heart attack, stroke or cancer? ACC will NOT pay out on medical issues, even though you may have to take a year off work to recover.
As you know, while ACC pays a percentage of your income during the time you are off work due to an INJURY, but NO such payment is made for time off due to illness. This is why an insurance policy called ‘Trauma’ was created. It pays out a lump sum if you can’t work due to a major medical issue.
The amount it pays out is up to you. Many clients nominate an amount equal to a year’s income, some adding extra to pay for non-funded drugs.
The premium can be chosen at a level (fixed) rate until age 65 or 70 to keep it affordable long-term. The lump sum payment can be used wherever necessary...medical treatment, help paying the mortgage or putting food on the table.