No one ever plans on having an accident, all the same, accidents occur every day. Accident insurance (not to be confused with accidental death only insurance) is designed to protect the family from the expenses that come along with having an accidents.
Many individuals who already have health insurance think of themselves as fully covered, but that may not always be the case. Most health insurance comes with stipulations, some stricter than others. An example of these limitations could be a high deductible and many different co-pays.
Most existing health insurance clients may be contractually obligated to pay a specified amount of the medical bills before their health insurance company will pay a dime. Co-pay amounts are another negative element to most health insurance plans. Typically health insurance will require their customers to pay a percentage or a stated dollar amount along with the percentage or predetermined sum of money that the insurance will also pay.
Some insurance companies only guarantee coverage within a specific network of providers. If the customer is out of state and out of their network when the accident occurs, it could be very costly. Health insurance benefits are paid to the treatment facilities as well, not to the policy owner.
These issues represent some of the reasons why accident insurance is worth looking into. It’s important for those who have a high deductible plan type of health insurance to meet with their agent if they have questions about their coverage. Most importantly, it’s imperative for them to have access to their own policy so they can review it for themselves.
When accidents happen and most often when people least expect them. Accident insurance will pay directly to the beneficiary that the owner selects, which could be the owner of the policy or another designated person.
For instance, a child gets a concussion in a school football game, a broken wrist from a fall, a severe burn from the stove are all common unfortunate events that happen quite often. Many covered incidents that one might expect like bone fractures, torn ligaments, or burns. It also may cover injuries to the eye, ambulance rides, paralysis, loss of a limb, and more depending on the policy features.
Another possible benefit one might be surprised about is a cash payout to the beneficiary when the insured goes for a routine wellness evaluation or preventative care.
Things like a yearly physical, mammogram, vaccines, eye exams, ultrasounds, and blood tests may grant the policy owner a cash benefit and it does not matter whether the medical care is covered under their regular health insurance plan or not.
The thought of not being able to work due to an accident can be daunting. Everyday bills like electric, mortgage or rent, and car insurance will still keep coming whether a person is able to work or not. Because accident insurance is paid to the owner of the policy and not to the hospital or clinic, the injured client has the power to decide how to spend the funds they receive from the accident insurance company.
That could mean maintaining their lifestyle and keeping up with the costs of daily living while they are unable to work, protecting their assets, as well as paying off their medical bills. They can use the money as they see fit and coverage is not contingent upon other policies.
Whether or not the client has major medical insurance or disability insurance, it does not affect the benefits of their accident plan.
Accident insurance is usually fairly affordable and will range in price based on the number of people being covered by the policy, the company it is purchased from, as well as if it is a group plan or being purchased individually.
Group plans through work tend to be cheaper since there is a larger pool of paying clients. If budget is a primary concern, it can be very helpful to talk to an independent insurance agent, so they can help their client compare plans and find one that meets their financial capabilities.
The average monthly premium for this kind of insurance is around $20 per person.
Aside from protecting families from the expenses resulting from almost any accident, most accident policies also pay a death benefit to a beneficiary in the unfortunate case that the insured is killed in an accident. It should not replace any life insurance, however, since only 3% of people die of an accident.
The best thing about accident insurance is that it gives the insured peace of mind because they know that an accident won’t weaken their financial stability.