Accidental Life Insurance Policy The policy assures the insured to provide complete financial protection against circumstances like accidental death and disability. Accidental Life Insurance Policy provides compensation to the nominee in case of death of the policyholder. Apart from this, you are also provided additional compensation for any type of limb loss.
Accidents never come unannounced. It can happen anywhere anytime to anyone. Due to this, a person may suffer from minor injury to serious injury. In this situation, the person’s income may be reduced or eliminated due to the disability, as well as the additional cost of medical treatment. Any such uncertainty can lead to financial crisis in one’s life. You can buy an Accidental Life Insurance Policy to avoid this type of financial crisis. This insurance policy covers you and your family against accidental death. It assures to provide adequate financial assistance in case of physical injuries and disabilities. Other rider benefits can also be availed in the accident insurance plan. You can choose riders as per your requirement like hospitalization cover, hospital daily allowance and medical cover etc.
Types Of Accidental Insurance Policy
Accidental Life Insurance Policy can be divided into two parts. Like personal accident insurance and group accident insurance. Detailed information about both these types is given below-
- Personal Accident Insurance:
Personal Accident Insurance covers the loss caused due to any kind of accidental damage to a single individual. This includes death, loss of limbs or disability caused by an accident. This policy covers a single person.
- Group Accident Insurance:
Group Accident Insurance provides insurance cover to an entire group. This type of insurance is taken by the employer to provide coverage to its employees. Some discount in premium is also provided by the insurance company depending on the size of the group. It is a profitable deal for employers to get insurance cover for their employees, as it is available at a low cost to the employer, although it is a basic type of plan and offers limited benefits as compared to personal accident insurance. is done.
Accident Life Insurance Coverage
Now we will discuss in detail about the coverage provided by accident life insurance. We will now try to know to what extent an Accidental Life Insurance provides coverage benefits to the individual.
- Accidental Death Cover:
In accidental death cover, in case of death of the life assured, the entire sum assured payment benefit is provided to the person named in the policy document.
- Permanent/Total Disability Cover:
If an accident results in temporary or permanent disability such as loss of limbs and a specified sum assured benefit is paid to the policyholder.
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- Permanent Partial Disability Cover:
In case of permanent partial disability due to bodily injury in any type of accident, a certain percentage of the insurance benefit is paid to the insured.
- Temporary Total Disability:
In this case, if the insured person becomes completely disabled and is not able to do any work, then a weekly allowance is provided by the insurance company to compensate for the loss of income. The amount received by the insurance holder can be used according to his financial needs.
Benefits Of Accidental Insurance Policy
Now we will discuss in detail about the various benefits that you get from the accident insurance policy.
- Family Security:
Through this policy, you can opt for financial security for your entire family. If there is any loss to your family due to any accident in future, then it will be completely covered by this insurance policy.
- Medical Examination:
There is absolutely no need for any type of medical examination and documentation to buy this insurance policy. You can buy this insurance policy instantly without any hassle
- Low Premium:
These policies offer you adequate coverage at low premiums. Hence it does not put any financial burden on you.
- Worldwide Coverage:
Through an accident insurance policy, you can get coverage for an accident that may happen anywhere in the world.
- Personal and Family:
In this plan, you can choose between both individual and family plans.
- 24×7 Customer Service:
In the insurance policy, 24 hours customer service is provided to you by the insurance company. You can use it whenever you want from anywhere.
- Public Transport:
If the person taking the accident life insurance policy dies while traveling in public transport or suffers any kind of loss then double compensation is provided to the insured person.
Accident Life Insurance Riders
Accidental Insurance Policy also provides you the option of adding riders. You can get additional benefits through these riders. You have to pay an additional premium for these riders. So let us examine in detail these riders available in the Accidental Life Insurance policy.
- Hospital Daily Cash :
Through this rider, if the insured is hospitalized after getting injured in an accident, he is provided with a cash daily allowance. This coverage allowance is provided only for a certain number of days.
- Ambulance Expenses :
The charges for an ambulance to take the insured to the hospital after an accident are covered through these riders.
- Transportation of mortal remains :
In case of accidental death of the policyholder through riders, the nominee receives the transportation cost of the dead body from the accident site to the hospital home or cremation ground. Along with this, the expenses incurred on the religious ceremony related to the cremation are also covered by it.
- Broken Bones :
If in an accident the insured breaks a bone, then compensation is paid through this rider to cover it.
- Burns :
If the body of the insured person gets burnt in an accident, then he should be provided benefit through this rider.
- Family Transport Allowance :
If the hospital is away from the insured person’s home, it offers transportation to the family members to reach the hospital.
- Education Benefits :
Through this rider, on the death of the policyholder, the cost of education of his dependent children is covered up to a certain limit.
- Debt Protector :
The benefit of repayment of loans is given in case of unexpected death or lifelong disability of the life assured.
- Adaptation Allowance :
This type of allowance is offered to modify the house as per the convenience of the insured if he/she becomes permanently disabled due to an accident.
Tax Benefits Under Accident Policy
Accidental insurance policy does not offer you any tax benefit under section 80D of the Income Tax Act 1961. Therefore, it is important to note that the primary objective of an Accidental Insurance Plan is to protect you and your family. Do not ignore these plans because of the non-availability of tax benefits and buy an accidental insurance policy for yourself and your family.
Why Choose Accident Insurance ?
Even a minor accident is enough to make a person handicapped whereas a major accident can end your life as well. To protect yourself from any such untoward situation, it becomes mandatory to buy an Accidental Insurance Policy. Through this, efforts are made to provide financial relief to the injured person or their dependents.
This policy provides compensation in case of accidental death, bodily injury, loss or disfigurement. A personal accident policy provides financial protection to the insured person not only in case of accidental physical disability but also in other cases
Therefore, to avoid future accidents, you must take an accident insurance policy. It ensures financial security for you and your family in the future and gives you the ability to cover any kind of contingencies that may arise.