Many people who are made redundant while also managing a serious illness or injury wonder whether they can still claim TPD. The answer depends on why you became unable to work — and the distinction between job loss and health-related incapacity matters significantly.
Redundancy vs health-related incapacity
TPD insurance covers you when a health condition permanently prevents you from working. If you were made redundant while already unable to work properly due to illness or injury, the redundancy may have accelerated or formalised what your condition had already caused. In this scenario, a TPD claim may still be viable.
The key questions are:
- Was your health condition preventing you from doing your job before the redundancy?
- Did you have active TPD cover at the time you became unable to work?
- Is your condition permanent and preventing you from working in any suitable role?
The cover must have been active
If your super account contributions stopped at redundancy and cover was later cancelled for inactivity, this can complicate a claim. But if the disability existed before cover lapsed, you may still be within a claim window. Check your super statements for the relevant period. Start with a free eligibility check.