PA COVER

How To Decide If You Need Personal Accident Insurance

By Staff Contributor Accidents can happen anytime, anywhere. Accidents can happen at work, in school and even at home. Some of these can include house fires, job accidents, terrorism and much more. An accident insurance policy is something that you need so that the insurance company can cover some or most of the expenses if ever these accidents happen to you. Some people need accident insurance more than others. The amount covered by the insurance company or the personal accident rates depend on the type of insurance policy that you purchase. Here are some tips on how to decide if you need personal accident insurance: 1. Financial status. One of the important things to think about is your financial capability. Some of the things that you should ask are: Are you the breadwinner? Will your monthly income be able to support you and your family when accidents occur? Do you have extra savings that you can use in case of medical accidents? If you assess that you are not able to support yourself or your family in case an accident occurs, you might want to get personal accident insurance. Some basic accident insurance packages will cover medical bills and other basic expenses. 2. Nature of job. Another thing to consider is the nature of your job. Some jobs are more high-risk than others. Some examples of high-risk jobs include jobs in construction, movie or television stunt doubles, mining jobs and other jobs that entail having to use heavy machinery or artillery. If you have a high-risk type of job, it is important that you acquire personal accident insurance. Even accidents, like back accidents or injuries, leg injuries or eye injuries can be covered by insurance.

Ads by Google 3. Home accidents. Accidents do not only happen in the streets. They can also happen in the safety of your own home. Even if you have fire extinguishers, smoke detectors and other accident safety devices, you will not know when an accident will occur. A percentage of

accidents occur in the house. Some common house accidents can include poisoning, choking, falling from the stairs and even fires. One thing to see is if the area where you live is prone to forest fires. There are a lot of neighborhoods that have forest fires, especially during the summer time. If you live in an area where the summer temperature can be extremely hot, it may be a good idea to get personal insurance just to be sure. These are some of the deciding factors that will help you know if you need to file for personal accident insurance. It is also good to research and know the benefits that you can get when you avail of insurance packages. You can approach and get help from insurance accident solicitors and let them help you to make the right decision for the personal accident insurance that is right for you. Once you are ready, you can do research on the Internet on the steps on how you can enroll in a personal accident insurance plan.

Importance of personal accident coverage

Almost every day of the week, one hears of someone who has had a road accident or some other accident resulting in total or partial disability. You might not be able to avoid accidents, but you can certainly protect against the consequences of being in an accident. Whether it is a colleague in ones office, a distant relative, or an old classmate, stories of such incidents are common enough to give us a daily reminder that accidents can happen to anyone and that they come without prior warning. An injury arising from an accident or a physical disability can lead to financial hardships arising out of loss of mobility, your livelihood and job. Personal Accident Coverage (PA) is a kind of insurance coverage that covers your financial losses resulting from an accident or disability. Lets say a person fractures their leg in accident. A PA policy cannot get your leg back in the same healthy state, but it can cover your financial losses you might suffer as a result of losing your mobility, suffering a disability that affects your earning capacity or even loss of work arising from your accident. Additionally, almost all PA policies cover death by accident. In some cases, death due to an act of terrorism is also covered. All policies have a minimum and maximum age of entry, but you could get coverage right from age 2 through to age 70+, but certain conditions might apply depending upon your age. Depending upon your personal circumstances (an estimation of the losses you might suffer as a result of an accident or disability), you can choose to get a coverage amount of anywhere from Rs 1 lakh up to a few crores. How can I get PA coverage? How much does it cost? In India there are 2 ways to get PA coverage. In both cases, the cost of PA coverage is very cheap as a rule of thumb it costs you about 0.1% of the coverage that you need. So if you want to be covered for up to Rs 10 lakhs, all you need to pay is approximately Rs 1,000 annually. In Diwali terms, that works out to less than a box of mithai per month! The rates might be marginally cheaper for women as insurance companies see women as having lower risk than men. 1. Rider on a Life Insurance Plan: If you have a life insurance plan, you can get an additional feature on this policy (a rider) that covers personal accident and disability. 2. Standalone Personal Accident Policy: Many general insurance companies sell PA and disability policies. You can be protected against the risk of death for a very small amount, over and above the life insurance policy that you might have.

Please note that these policies are different from and over above any other health insurance policy that you might have. A health policy covers the cost of hospitalization and treatment. A PA policy covers the financial losses that you or your family might suffer due to an accident or death.

Personal Accident Insurance

Features

CICI Lombard Personal Accident Insurance policy covers you not only against Accidental Death and Permanent Total Disablement (PTD), but also against terrorism and acts of terrorism. You can choose from 4 options of Rs. 3 Lakhs, 5 Lakhs, 10 Lakhs or 20 Lakhs with a choice of cover period (annual auto renewal) - 3, 4 or 5 years.
Terrorism and Acts of Terrorism: In case of the death of the insured arising out of terrorism or acts of terrorism within the policy period, the nominee (mentioned in the policy) is compensated with the sum Insured. The Company shall also pay compensation against permanent and total loss of limbs, sight etc. (of the insured) arising out of terrorism or acts of terrorism.

Coverage

Accidental Death : In case of death of the insured due to an accident within the policy period, the nominee (mentioned in the policy) is compensated with the Sum Insured.

Permanent Total Disablement (PTD) : Personal Accident pays compensation against the permanent and total loss of limbs, sight etc. due to an accident.

Covers claims arising out of Terrorism or acts of Terrorism Covers against Accidental Death or Permanent Total Disablement (PTD) Benefits Choose among Sum insured options of Rs. 3, 5, 10 and 20 Lakhs Choice of cover period: 3, 4 or 5 years

No health check-up required Easy Claim Process with minimal documentation Age criteria at entry: Minimum 18 years, Maximum 70 years. Eligibility The applicant can buy the policy for his spouse aged between 18-70 years.

How to buy Personal Accident Insurance Available with almost all general insurance companies Available without any medical tests of any kind

Amount of insurance is restricted and is linked to the annual income of the person Salaried people have to provide their salary slip and others are expected to provide their income tax returns by the help of which the insurance company can decide the amount of insurance cover to give In most of the companies there is also a provision of a cumulative bonus for every claim free year. Accident insurance is the cheapest and smartest way of filling the insurance gap especially for the young who are aware of the importance of insurance and whose salaries are still not very high.