In Australia, dealing with TPD claims is a bit like having a conversation with your mother in law, just like the mother in law who never approves of anything you do some insurers, like Asteron, are the ones who reject almost 30% of claims. On the flip side, you've got TAL, who approves around 91% more like that generous aunt who always brings gifts and never complains.
Australians often ask which Superannuation insurance company is the best or worst for TPD claims. While it’s tough to pinpoint a “winner” without a crystal ball, you can at least look at refusal and approval rates from the 7 big players to form your own opinion.
Decline Stats That’ll Make You Blink Twice
- Total and Permanent Disability (TPD) insurance claims in Australia have historically experienced notable decline rates.
- The Australian Securities and Investments Commission (ASIC) reported that between 2016 and 2017, three out of five (60%) claims assessed under the restrictive 'activities of daily living' definition were declined, which is five times higher than the average declined claim rate for all other TPD claims (10%).
- In 2023, the industry average acceptance rate for TPD insurance claims was 83%. Resolution Life/AMP had the highest TPD claims acceptance rate at 90.4%, while ClearView had the lowest at 59.6%.
- The average time for a TPD insurance claim to be accepted was 7.3 months in 2023. The fastest insurer for paying TPD claims was TAL/Asteron at 6.6 months on average, with the slowest being ClearView at 11.4 months.
- These statistics highlight the complexities and challenges associated with TPD insurance claims in Australia. It's important for policyholders to thoroughly understand their coverage and engage with insurers promptly when considering a claim. insurancewatch.com.au