NSW TPD Payout and Divorce Settlement?

Australia's #1 for Law
Join 150,000 Australians every month. Ask a question, respond to a question and better understand the law today!
FREE - Join Now


2 September 2014

My question is in regards to TPD payouts and what happens to these payouts during divorce?

I have been married for the last 13 years with 2 children from this marriage. My husband has been threatening to leave me, as he now has the funds to start a new life comfortably.

He injured his back in a shopping centre fall and is claiming compensation from this company. It looks like there may be a significant payout after 4 years of solicitors, doctors etc. He has also claimed TPD from his super fund insurer, which was enough to pay off our mortgage and he also has 2 other super funds he is claiming TPD from. He is being paid salary continuance at the moment.

He is classed as 'unable to work in previous duties suitably trained for'. We have discussed his future employment and he is happy once he gets paid out, to do a job that he will enjoy. He is able bodied, relies on medication to stop pain, but is in the process of losing a lot of weight to help with this. We have been designing our family home for the past year, organised a family holiday and started preparing for our kids future. We apparently have a 'pretty good' marriage......

His payout has paid off our mortgage. I am aware that he will be able to claim future care etc, but I live with him and I know exactly what his capabilities are.

My question is, if he leaves me, what am I entitled to receive in a divorce property settlement? I have worked throughout our marriage just taken off time when our kids were little. I have been working continuously now for the same company for over 10 years.
Hope you can offer guidance.

Sarah J

Well-Known Member
16 July 2014
Melbourne, Victoria
Hi Confused101,

There are a number of LawAnswers Family Law Forum threads on property settlement after separation/divorce. Have a read through:
- "Property settlement if I get a divorce"
- "Divorce and property settlement questions"
- "Property settlement - Divorce"

The short answer is, almost everything is considered by the courts, including income contributions of each party, payments of mortgages/expenses/etc, children and child care, house and domestic matters, gifts and benefits to one party, benefits in wills, ability to work in the future, disabilities and financial prospects. Nobody can give you an exact figure, share. The best way is to reach settlement yourselves and enter into an agreement, validated in the form of a consent order. Otherwise, the courts will decide according to what is more just, fair and reasonable.