Trauma Insurance Cover pays a benefit if the insured suffers an illness or traumatic event as specified by the policy (for example, heart attack, cancer or stroke). A traumatic event does not have to be life threatening or cause total or permanent disability, but it’s important that it meets what’s defined in the policy.
Most trauma policies will only pay a claim if the insured lives for a specific amount of time (commonly 14 days) after the defined traumatic event. If the insured dies before this time, a trauma benefit will not be paid. For most policies, a nominal amount of death cover is payable.
Most trauma policy conditions are described with reference to medical diagnostic and treatment procedures, as well as severity criteria, and the cover is usually offered on two levels – basic cover and comprehensive/plus cover.