Income protection

Some policies, particularly the older ones, have two different elements:

• Trauma. This is a lump sum payout you are eligible to claim when certain events occur. This is likely to be where the idea you have to have a mastectomy to qualify will have come from as amputations are usually covered. The lump sum varies according to the policy, but the default is usually about $10K most insurance companies are slowly getting rid of these policies or making them prohibitively expensive, so if you still have that cover you are lucky. Check and see if your mortgage insurance has this included as well. 

• Income protection. Once again, depending on the policy, you will be able to claim for certain events--such as an illness that incapacitates you to the point you cant work. I would be surprised if you would require a total mastectomy to qualify, but if I remember rightly you do need to be undertaking treatment. IN situ cancers and some melanomas dont count. There is generally a 90 day withholding period so you will be without income for that time. Read the policy carefully--there have been occasions where the companies have discontinued payments because someone has gone back to work for one day or, I believe, accessed sickness benefits for the 3 months between stopping work and being eligible for a claim. That might be an urban myth, but it is worth checking it out. 

They really would prefer not to pay you--being insurance companies and all--and, of course, it's bloody Christmas so anyone who might be able to answer questions will be on holidays. They have probably left the cleaners to answer the phones...

I seem to remember @sister investigating income protection and a think @melclarity managed to make a successful claim.

Good luck Marg xx