TPD is getting a reset, and advisers need to notice

TPD is getting a reset, and advisers need to notice

From My Risk Adviser by Phil Thompson

February 13, 2026 · 27 min · Season 5 · Episode 6

About this episode

The episode discusses the reset of Total and Permanent Disability (TPD) insurance and its implications for advisers.

TPD was built for “total” and “permanent”, but the market drifted into grey areas. More subjectivity. More debate. More claims that, in hindsight, never really matched what the words were supposed to mean. We sat down with Gerard Kerr, Chief Executive, Individual Business at Acenda, to talk about their severity TPD and why it exists alongside the traditional own and any occupation options. The shift is simple, but it changes everything. Instead of arguing what “duties” means and how “reasonably suited” should be read, the definition leans on recognised medical impairment scales for mental and physical conditions. More objective thresholds, less opinion. That also means the advice conversation has to sharpen up. The trade-off needs to be crystal clear, the documentation needs to be clean, and the cover structure needs to match the client’s budget and their tolerance for severity risk. This is one of those product changes that sounds technical, but plays out in real outcomes when clients need it most. 👉 Join the My Risk Adviser Facebook community for Australian advisers: https://www.facebook.com/groups/myriskadviser/ The advice shared on My Risk Adviser is general in nature and…

People in this episode

Host: Phil Thompson

Guest: Gerard Kerr

Topics covered

  • TPD
  • insurance
  • advice
  • medical impairment
  • risk management

Keywords

  • TPD
  • total permanent disability
  • insurance advice
  • medical impairment scales
  • severity risk

Mentioned in this episode

Organizations: Acenda

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