Many argue that accidents are unlikely. Some even assume that it is something that would never happen to them, or anyone they know. Therefore, you may feel that you do not need to purchase personal accident insurance. However, accidents are not something that anyone expects, but yet, they happen. It may take only one accident to put you in a difficult situation physically and financially. So, the focus should not be on the possibility of an accident, but the impact it can have on you.
An accidental disability can seriously disrupt your life. High medical costs involved medical and other costs for disabilities can take a toll on families. Personal accident coverage helps you prepare for such emergencies so that you can easily adjust to your new lifestyle, if necessary.
What is personal accident insurance?
Personal accident insurance only covers medical expenses caused by an accident. It also covers accidental death and permanent disability. While medical insurance also covers accidents, they only cover the treatment cost for the injuries you would receive. A personal accident insurance policy offers specialized coverage for multiple issues caused by an accident. However, a personal accident policy is only beneficial if it is picked and bought right. *
How to choose the best personal accident insurance?
Below are some criteria to help you choose the right personal accident policy:
- Insured amount or Coverage
The insured amount, also referred to as coverage, is the maximum amount that the insurance company covers during the insurance period. Expenses exceeding this amount must be borne by the insured. Therefore, it is recommended to choose an insurance plan that provides adequate coverage.
For example, consider your age to determine the right coverage amount for your insurance plan. As you age, your medical needs tend to become more expensive. Therefore, the insurance amount you choose should provide adequate coverage at every age. *
- Insurance premium
An insurance premium is the amount paid to the insurance company in exchange for insurance coverage. The premium mainly depends on the coverage defined in the personal accident insurance policy document, along with a few other factors. It is important to ensure that you are getting the maximum coverage for the amount you invest in your plan. Also, avoid buying the cheapest plan available as it may not provide enough coverage when you need it. *
Inclusions refer to the scenarios that the insurance policy covers. In the context of a personal accident insurance policy, this refers to the accident-based scenarios covered by the policy. So, when choosing a policy, make sure it covers the most likely accident scenarios. *
Exclusions refer to scenarios where the policy does not provide coverage. Review the policy document carefully for policy exclusions. Some exclusions can usually be covered as an add-on by paying a higher premium. It is important to ensure that the accident scenarios that you want covered should not be a part of exclusions. *
- Types of policies
Personal accident insurance is offered as individual and family floater plans. If you have a family or have dependents to take care, you can opt for the family floater plan. This can protect you and your family from unexpected medical bills. It also allows you to update your policy on behalf of your entire family only once per update cycle. *
- Compensation to the family
Find out what benefits your insurance policy provides for your family/dependents in the event of permanent disability or accidental death. For such scenarios, make sure that the policy you choose provides maximum coverage for your family/dependents.*
- Insurance company’s reputation
Knowing the creditworthiness of an insurance company is very important in choosing the ideal personal accident insurance. The insurer’s claim settlement ratio indicates the probability of settlement of the claim. Additionally, check online ratings, reviews, and testimonials posted by current customers to learn about the insurance company’s credibility. *
- Network Hospital
Insurance companies partner with certain hospitals to settle bills on behalf of the insured. These hospitals are called network hospitals and support cashless health insurance. Make sure your insurance company has a reliable and accessible network hospital. You can usually find a list of network hospitals that your insurance company works with on your insurance company’s website. *
* Standard T&C Apply
Insurance is the subject matter of solicitation. For more details on benefits, exclusions, limitations, terms, and conditions, please read the sales brochure/policy wording carefully before concluding a sale.