How Personal Accident Insurance Policy Works

How Personal Accident Insurance Policy Works

Accident statistics in India are quite alarming. In India, there are roughly 1214 traffic accidents every day. Have people recently developed a greater propensity for accidents than they could have ever imagined? 4.64 lakh accidents were reported by the Ministry of Road Transport and Highways in 2017. And accidents on Indian roads resulted in the deaths of over 1.47 lakh persons. According to the most recent figures, accidents increased by 1.68% in 2018. Every day, accidents occur, and given the state of the roads and the volume of traffic, the possibility of vehicular collision is very high. Even the safest drivers occasionally get into accidents because of the negligence of others. It is essential that you obtain Personal Accident coverage to protect yourself against the danger of a vehicle accident. Several accidents can occur at work in addition to traffic collisions, particularly if you work in a dangerous environment like a factory where you might have to operate large machinery. Any accident has the potential to result in serious injuries, and in certain circumstances, even death. Therefore, having a personal accident policy is advised. It will facilitate your access to financial aid.

Whereas regular medical insurance might cover the partial cost of the medical bills and hospital bills, it does not consider the recovery or the aftercare of an accident. In such cases, it is crucial to take out a personal accident insurance policy to guarantee financial support and protection in the aftermath of an accident. 

Personal accident insurance coverage options

Both group accident insurance and individual accident insurance fall under the broad category of personal accident insurance.

Group Personal Injury Insurance: Most businesses and company owners choose to buy personal accident insurance for their personnel. This is true for enterprises engaged in manufacturing or construction, where workers and employees are more vulnerable to the danger of accidents. Employees are reassured by such coverage that they would be financially covered in the event of an accident at work.

Individual Personal Accident Insurance: As the name implies, an individual will purchase a policy of this type in order to safeguard themselves against the possibility of unintentional harm. According to the plan, it would cover unintentional death and temporary or permanent impairment.

What benefits does a personal accident policy offer?

  • Gives your loved ones and family financial security.
  • No more testing or paperwork is required beyond what is already in place.
  • Extensive coverage at very lower costs.
  • Plans are offered in two categories: family and self.
  • It provides global coverage.
  • Effortless and simple claim procedure.
  • Support centers are open every day and at all hours.
  • The policy can be altered to meet your unique requirements.

What coverage do you get under this policy?

  • Coverage for Accidental Death 

For family members who are financially and emotionally dependent, an accident can be devastating. The nominee named in the policy document receives the whole sum promised in the event of fatal injuries.

  • Coverage for Total/Permanent Disability

A pre-decided amount as sum insured is paid to the policyholder if an accident results in permanent impairments or lifelong total impairment, such as loss of both limbs.

  • Coverage for Partial Permanent Disability

If physical harm results in a permanent partial disability, the insured receives a portion (up to 100%) of the benefit.

  • Coverage for Temporary Total Disability

If the insured suffers from a temporary total disability and becomes bedridden, the insurer will pay a weekly allowance to make up for the income that was lost. If there is a loss of income, the insured may also use this claim amount to pay the EMIs.

If the insured event occurs, you will typically need to notify the insurance provider right away and provide a package of documents, including a duly completed claims form, death or disability certificate, a post-mortem or doctor’s report, a copy of the police report, a medical certificate, medicine bills, a discharge summary (if you were hospitalized), and an investigation report.

You need to be aware of the exclusions, or the things that your insurance policy won’t cover, just like with most other insurance policies. In the case of a personal accident insurance policy, these typically include claims resulting from past illnesses/sickness and pregnancy/childbirth-related issues, as well as injuries caused by war, drugs or alcohol, participation in violent public disorders or labor disturbances, and adventure sports.

Insurance can help with the financial constraints that an unforeseen incident can bring, even while it cannot immediately address the emotional and psychological anguish caused by an accident. Today, a variety of insurance providers and plans are available on your smartphone and can comprehensively satisfy your specific needs for risk protection.