The Benefits of Adding the Accidental Death Benefit Rider to Your Policy

A personal accident insurance policy will provide you with the appropriate coverage whether you are involved in a minor accident that results in hospitalization or a large accident that results in death. It also offers a plethora of other features, like temporary or permanent disability coverage and paying for your child's educational fees in accordance with the conditions of the policy. Before learning more about accident insurance, take in mind that health insurance policies offer a variety of advantages. It will safeguard you against a medical emergency and provide financial coverage for a wide range of medical bills. You can choose from a variety of health insurance plans, including individual and family health insurance.

Reasons Of Investment In Accidental Death Benefit Plan

You should invest in this coverage if you operate in a potentially dangerous setting, such as with heavy machinery, or if you drive long miles for work. Consider the alarming numbers of India's road accidents: According to the National Crime Records Bureau (NCRB) data for 2019, there were roughly 4.37 lakh road accidents in India, with more than 1.54 lakh fatalities. While 38 percent of those killed in traffic accidents were riding two-wheelers, 13.7 percent were driving automobiles. According to the data, nearly 4.39 lakh people were injured as a result of the accidents. Similarly, more than 1.52 lakh people died in traffic accidents in 2018. 

In light of these sobering numbers, it becomes critical that you safeguard your loved ones from the irreversible loss of life that can follow from an accident. Furthermore, increased hospital costs have resulted from medical inflation, which can result in significant financial losses if you are hospitalized due to an injury. An accident insurance rider will pay out the sum assured not only in the event of your untimely death, but also in the event of temporary or permanent incapacity.

Benefits Of Accident Insurance Policy

Accidental Death Benefit

The accident insurance rider will pay out 100% of the sum assured if the insured dies as a result of an accident. An accidental death occurs when a policyholder dies within 180 days after suffering a bodily injury caused solely and directly by an accident. The accident must be a sudden and unexpected occurrence brought about by external, violent, and visible forces.

Funeral Expenses

The policyholder's funeral expenditures are covered by the accidental death benefit rider.

Child Education Benefits

In the event of your accidental death or permanent handicap, the expense of your child's education can be covered. In most cases, insurance companies pay a certain amount for what is specified in the policy terms.

Temporary Complete Disability

You will get a percentage of the insured amount for a predetermined number of weeks, depending on the terms of the policy.

Permanent Complete Disability

In the event of permanent incapacity as a result of the accident, you may be entitled to an amount that is greater than the sum covered up to 125 percent.

Exclusions Of Accident Insurance Rider

The accidental death benefit rider does not cover accidents caused by self-inflicted harm, suicide, drug/alcohol overdose, war, riots, natural disasters, and so forth. Accidents resulting from involvement in adventure sports such as mountaineering, rock climbing, scuba diving, and so on are not covered. Also, those in high-risk occupations such as the armed forces, police, paramilitary, and aviation, among others, are not covered by this policy's benefits. These people are covered by specialized plans, which are generally provided by government agencies.

Take Away

As a result, by purchasing a personal accident insurance coverage, you can always be prepared for an unanticipated event. This plan offers a plethora of advantages that will give you complete peace of mind. Do not wait for calamity to hit before taking action. Instead, prepare for the unexpected by purchasing comprehensive health insurance coverage. Invest in a life insurance policy with an accidental death benefit today.

Also Read: Why Should I Buy A Critical Illness Rider?

Disclaimer: This article is issued in the general public interest and meant for general information purposes only. Readers are advised not to rely on the contents of the article as conclusive in nature and should research further or consult an expert in this regard.