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Health Insurance Basics

5 Reasons to Consider Personal Accident Insurance

August 31, 2018
As you reach retirement, you have more time to do the things that you’ve always wanted, such as taking up new hobbies or going on dream vacations. You may also become more vulnerable to accidents as you grow older — which could mean injuries that take longer to heal and huge medical bills for treatment and recovery. 
Personal accident insurance provides essential coverage against accidental injuries. With it, you can get reimbursed for medical expenses resulting from accidents, hospitalization benefits that help pay for alternative treatments, and (should accidental death occur) a lump sum payout.
Benefits of Personal Accident Insurance
When it comes to personal accident insurance, every situation is unique. While it can provide you with the financial protection you need in the event of an accidental injury, you may be asking yourself whether it’s the right decision for you.
Consider some of the following benefits.
Additional Coverage. This includes much of what might not be covered by health insurance, such as rehabilitation, and is a great way to supplement existing coverage.
No Medical Underwriting. If you’ve been refused life insurance in the past for whatever reason, personal accident insurance is a great option as it usually does not require any medical underwriting.
Inexpensive. Policies can be incredibly inexpensive due to factors like where you live and how much coverage you want. Additionally, personal accident insurance is an appealing offer for when traditional coverage is too expensive.
You’re Self-Employed. If you’re self-employed, you may not have sick leave; personal accident insurance could protect your finances during that time.
Peace of Mind. Taking up scuba diving in your golden years? Want to hike the Appalachian Trail?
Personal accident insurance is ideal for those who intend to stay physically active and could need the extra coverage.
How Does Personal Accident Insurance Work?
In the event of an accident, personal accident insurance covers you if you become disabled; unable to work; or have a defined injury, such as loss of eyesight or hearing, and fractured bones.
Beneficiaries are paid either in one lump sum or on a monthly basis to supplement missed income.
There are other benefits in addition to those mentioned above, including the fact that premiums are tax deductible. Check the terms of each policy you consider to learn more.
What Is Not Covered?
When considering whether personal accident insurance is right for you, it’s also important to understand what is not covered.
This includes self-inflicted injuries, dental injuries, injuries that occur while under the influence or while committing a crime, and accidents that occur as a result of a prior illness.
Is Personal Accident Insurance Right for You?
As you consider whether personal accident insurance is right for you and your family, you’re probably wondering whether it makes sense if you already have policies such as life insurance, accidental death, or workers compensation. 
Personal accident insurance may be the right choice for you if:
Traditional coverage is too expensive
Paying out-of-pocket for bills that result from an accident outside of the workplace is out of the question
Take the time to find the policy that fits your lifestyle.
You might also be interested in learning more about preventing injuries at home.