Personal Accident

Personal accident insurance can be invaluable should you have an accident which renders you unable to work either for a short period of time, or worst case scenario takes you out of the workplace indefinitely. Personal accident cover can help alleviate some of the financial worries should an accident occur.

Firstly an accident means a sudden violent external unforeseen and identifiable event. It features bodily injury caused by accidental and / or violent means.

There are varying types of cover available or ways this cover can be included. Policies can be taken out by an individual or as a group or alternatively this cover extension can sometimes be added to your commercial combined insurance.

Be careful not to confuse the personal accident cover generally provided under the money / personal accident section of your commercial combined policy as this applies if you are robbed or held up with violence whilst transporting money to the bank only.

What needs insuring?

Death and other Capital benefits
Capital benefits mean loss of hearing, loss of sight, loss of a limb, loss of speech or other permanent total disablement.

Permanent partial disablement
This relates to loss of senses, limbs, organs, digits and other extremities. These are rated on a scale of loss based on which are more or less severe to lose or do without. To lose a toe, for example, other than a big toe is unfortunate but to lose a hand would mean much more to a skilled worker.

Temporary Total Disablement
This means disablement which entirely prevents the insured from carrying out their usual occupation over a period of time.

Temporary Partial Disablement
This involves disablement which prevents the insured from attending to a substantial amount of their usual occupation.

Options

The most economical option is to restrict cover to accidents in the workplace however it is a good idea to think more widely and accept that most accidents happen in the home so it may be a better option to pay the extra and take a policy which covers you 24 hours.

Make sure you chose the right one for your circumstances.

Obviously 24 hour cover costs a bit more but then again the exposure to insurers is more also as the likelihood of an accident is greater.

Exclusions

Your lifestyle is an important factor when considering personal accident cover. There will be restrictions on a personal accident policy should you ride a motorbike, take part in any hazardous sports, flying or other dangerous activities. Should you rock climb, scuba dive or ski, these could all be exclusions too so declare these before taking out a policy. Insurers may then agree to include the cover for an additional cost or exclude cover completely.