Personal accident cover provides you financial assistance in case you suffer an accident which leads to a serious injury or death.
As the name suggests, Personal Accident Insurance provides you protection against the risk of death and disablement that can be caused by accidents and it is applicable anywhere in the world.
An accident can include events such as the following:
• Injury caused because of any kind of fall or collision
• Any kind of train/ road or plane accident.
• Any kind of injury due to gas cylinder burst.
• Injuries because of burning, drowning, poisoning etc
An accident can result in three events. viz. temporary disability, permanent disability, and death
1. Temporary disability: In case of a temporary total disability, a weekly compensation is paid by the Insurance Company for the entire period of the disability. Nevertheless, generally, the payment is made only for a maximum period of 52 weeks. This payment can prove invaluable to your family members in case you are the only earning member of the family. Please note that you don’t receive any compensation for a temporary partial disability.
2. Permanent disability: You are eligible for the entire insured sum in the event of a permanent total disability. In case of a permanent partial disability, a certain pre-decided percentage of the sum is provided by the Insurance Company. It is suggested to read the policy carefully before you buy it, as the percentage varies from company to company.
3. Accidental death: In the unfortunate event of death, the entire sum insured in paid to the nominees of the insured person. However, keep in mind that in order to be eligible for this feature, death should happen within a specific period from the accident. This period is generally between 90 to 180 days.