Personal Accident Insurance Policy
While we all are aware of the most common insurance plans like health, car and life insurance, very few of us know in detail about personal accident insurance policy. This is generally not widely publicised by agents because they earn a puny commission on it. But this insurance covers something as important as death or disability by sudden accident. So it is always advisable to ask about this policy along with you health or life insurance. Here are some things you need to know about this very crucial yet much overlooked policy-
Why you need it- This standalone policy is as important as your health insurance and mediclaim because it covers death and disability by accident, which is not covered by Health Insurance. There is no lower limit for a personal accident policy, as it can be claimed for something as minor as a fractured limb.
What all does it cover- Personal accident insurance can cover an individual as well as a family. It is often included in corporate/company policies as well. It can be claimed if the insured person faces
- Death by accident
- Permanent partial/complete disability (Health Insurance pays only in case of hospitalisation)
- Dismemberment by accident
Education support for child is also covered here, in case of accidental death/disability of parent. Most Health Insurance policies do not provide this without multiple riders. Hospitalisation charges are also taken care of.
What is not covered- Personal accident policy cannot be claimed if the insured person met with an accident under influence of drugs or alcohol; suicide or while participating in sports activities or any riot, war or war like situations. Death during childbirth is also not covered.
Documents/Information required during claim- Besides all important personal details of insured individual, a description of the mode and location of accident is also required. The extent of damage incurred on the body of the person should also be mentioned and ratified by a doctor. If the claim is made as a result of death, then additional documents include death certificate and police report if applicable.
The personal accident insurance policy is an example of a chink in the armour.With our basic covers on life, motor vehicle and health, we feel secure enough. But on closer inspection we will find loopholes. So it is advisable to take all measures possible and leave nothing to chance!
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