A personal accident policy provides insurance coverage for death or disability resulting from an accident. It pays benefits for accidental death, permanent total disability, permanent partial disability, and temporary total disability. Unlike health or life insurance, it does not require a health check-up. Coverage is worldwide and premiums vary depending on the insured's work profile and risk level. Certain exclusions apply such as intentional self-harm, intoxication, pre-existing conditions, and hazardous occupations like pilots and armed forces.
2. What is Personal Accident Policy ?
Life insurance policy is needed to cover the risk
of death.
Health Insurance policy is required as a cushion
against hospitalization expenses.
Similarly personal accident policy is required to
cover the risk of death or disability due to an
accident.
3. Benefits of Personal Accident Policy
1. AD - Accidental death.
2. PTD – Permanent Total disability. (loss of two
limbs, two eyes, two feet, one hand and one
foot, one hand/foot and eye is PTD and will pay
the insured 100% of the SI)
3. PPD – Permanent Partial Disability.
4. TTD – Temporary Total Disability.
4. Other benefits
1. No health check up required for policy issuance.
2. Worldwide coverage of the policy.
3. It gives coverage starting from 5 lac to 5 crore.
4. Free lookup period of 15 days.
5. 5% per claim free year to a maximum of 50%.
5. What is not included ?
1. Intentional self injury,suicide or attempted
suicide.
2. Influence of intoxicating liquor or drugs.
3. Suffering from any pre-existing condition or
pre existing physical or mental defects or
infirmity.
4. Aircraft pilots and crew, armed forces
personnel and artistes engaged in hazardous
performance are totally excluded.
6. Premium depends on work profile
A. Low Risk (Level 1): Doctors, Bankers, Teachers,
Accountants.
B. High risk (Level 2): Mineral workers, Circus
personnel, bungee jumping, mountaineering.
