If you’ve been injured at work, you may already have a workers’ compensation claim covering treatment, time off work, and other expenses.
But if your injury or illness is so severe that you’ll never be able to work again, you may also be able to lodge a Total and Permanent Disability (TPD) claim through your superannuation.
This raises a common question:
👉 Can I claim TPD while also on workers’ compensation?
The answer is, in most cases, yes — you can claim both. But it’s a complicated process with traps that can limit your entitlements if you’re not careful.
In this guide we’ll explain:
- The differences between workers’ comp and TPD.
- How the two systems work together.
- When and how you can lodge a TPD claim while on workers’ comp.
- Real-life examples.
- Tips to maximise your total entitlements.
The Difference Between Workers’ Compensation and TPD
Although both schemes relate to loss of work, they operate differently.
Workers’ Compensation
- Provides weekly income payments for work-related injuries or illness.
- Covers lost wages, medical costs, and rehabilitation.
- May pay lump sums for permanent impairment.
- State-based systems (e.g. WorkCover QLD, iCare NSW).
Total and Permanent Disability (TPD)
- Paid through your superannuation insurance fund.
- Provides a lump sum if you can never return to work.
- Covers all illnesses or injuries, not just those caused at work.
Key distinction: Workers’ comp is about a workplace injury or illness. TPD is about your overall ability to ever work again (for any reason).
Can You Claim TPD While on Workers’ Comp?
The short answer is yes.
- Workers’ comp supports you in the early period after injury or illness, covering treatment and rehabilitation.
- TPD insurance provides a superannuation-based lump sum, once it’s clear you will never work again.
They serve different purposes, which is why many injured workers successfully claim both.
However, there are important interactions to understand around timing, evidence, and offsets.
How TPD and Workers’ Compensation Claims Interact
1. Overlap in Medical Evidence
- Both rely on medical reports.
- Your WorkCover doctors may differ from the specialists preparing your TPD evidence.
- Inconsistency between the two can cause major problems.
2. Waiting Periods for TPD
- Most TPD policies require a 3–6 month waiting period.
- Receiving workers’ comp during this time does not prevent a later TPD claim.
3. Offsets and Deductions
- Some super funds reduce TPD payouts by amounts received in workers’ comp.
- Other funds pay full TPD benefits regardless. Always check your policy.
4. Different Definitions
- Workers’ comp impairment payments may not meet the stricter TPD test.
- Example: Loss of a hand may result in a workers’ comp lump sum but no TPD if you can retrain for a supervisory role.
Real-Life Examples
Example 1: Construction Worker with Spinal Injury
Michael injured his spine in a workplace accident. WorkCover paid weekly benefits and surgery costs. After a year, his doctors confirmed he could never return to construction. He lodged a TPD claim through his super fund and received a lump sum in addition to workers’ comp.
Example 2: Nurse with PTSD
Sarah developed PTSD after multiple traumatic workplace incidents. Workers’ comp covered her therapy and wages. After six months, with psychiatric evidence, she claimed TPD and was paid a lump sum on top of workers’ comp.
Example 3: Electrician with Hand Injury
David crushed his hand at work. Workers’ comp paid a lump sum for impairment. His TPD claim, however, was denied because the insurer argued he could retrain as a supervisor or estimator.
Common Mistakes When Claiming Both
- Treating them as the same: They are separate systems. Approval of one doesn’t guarantee approval of the other.
- Conflicting medical evidence: Reports that differ between schemes often lead to denial.
- Ignoring offset rules: Some TPD payouts are reduced if you’ve received workers’ comp.
- Waiting too long to lodge TPD: Medical evidence weakens and cover may lapse.
- Relying only on GP evidence: Psychiatric and specialist reports are vital for proving permanency.
Tips to Maximise Your Total Entitlements
- Get early assessments for both claims: Don’t wait until workers’ comp finishes to start TPD.
- Coordinate medical evidence: Ensure your doctors know you’re making both claims and use consistent language.
- Check for offsets: Ask your super fund directly if TPD will be reduced by workers’ comp.
- Look for multiple policies: If you have more than one super fund, you may be able to claim multiple lump sums.
- Seek legal advice early: Lawyers can coordinate evidence, manage insurer tactics, and fight offset clauses.
FAQs
Can I get TPD and workers’ comp at the same time?
Yes, but whether you receive full TPD on top of workers’ comp depends on your policy wording.
Does an offset clause mean my TPD will be reduced?
Yes. Some funds deduct workers’ comp payments from your TPD benefit.
Do I need to finish workers’ comp before lodging TPD?
No. You can pursue both at the same time.
Will TPD be denied just because I’m on workers’ comp?
No. Acceptance depends on medical evidence and policy definitions, not the fact you’re on workers’ comp.
What if my TPD claim is rejected?
You can appeal, escalate to AFCA, or seek legal action. Many complex claims succeed on review.
Can I also claim income protection?
Yes, but income protection benefits are usually offset against workers’ comp or TPD.
Yes — in most cases you can claim TPD while on workers’ compensation.
The two systems are separate:
- Workers’ comp is a state-based scheme providing income and treatment for work injuries.
- TPD is a superannuation-based lump sum recognising permanent incapacity.
But the two often interact. Insurers may look for overlaps, apply offsets, or reject claims based on conflicting medical reports.
The key to success is careful management: ensure evidence is consistent, understand your policy terms, and get advice early.
At TPD Claims Lawyers, we help Australians every day with both workers’ comp and TPD claims. If you’ve been injured at work and are unsure of your rights, contact us for a no-obligation assessment.
Last updated: 29 August 2025