Accidental Death Insurance Guide

April 10, 2018


Accidents happen all the time, and even though we do not like dwelling on such matters, it is prudent to make arrangements to ensure that our families are well taken care of in case of an unexpected calamity such as untimely death or serious injury.

The Centers for Disease Control and Prevention reports that accidents cause more than 130,000 deaths every single year. In fact, accidents are the fourth leading cause of death in the United States. These deaths are of epidemic proportions.

Accidents come in all forms. They are typically thought of as events that happen suddenly that are not intended or planned, causing death or injury.

An accident is a sudden and unforeseen physical situation that cannot be controlled. An accidental death insurance cover normally covers the following accidents:

  • Choking
  • Drowning
  • Machinery
  • Suffocation
  • Slips and falls
  • Unintentional poisoning
  • Etc

So, for instance, if you are in crossing the road and get hit by a car, or you fall from a ladder and unfortunately succumb to the injuries, your beneficiaries will get paid from an accidental death.

In addition to covering deaths that are caused by accidents, an accidental death insurance cover also covers dismemberment, that is the total or partial loss of limb or limbs. This includes things such as hearing loss, paralysis, as well as burns that cover 20% of your body.

Understanding Accidental Death Benefit

Accidents are very frequent in today’s world. Here’s something you might find interesting. If an accidental death insurance policy holder has a standard life insurance cover at the time of death, that is, within 90 days from when they sign up for the accidental death benefit, the beneficiary will receive twice the value of the policy.

This is the reason why it is known as a double indemnity clause.

Refusal of death benefit

Before paying out the death benefit, the insurance company has to conduct a thorough investigation to establish that the cause of death was actually an accident. If death was not by accident, the insurance company will not pay the death benefit to the beneficiaries.

The exclusions vary from one State to the next, here are some of them:

  • If blood alcohol content is found to be .08 or more
  • If death was a result of a self-inflicted injury such as suicide
  • Association with any illegal activity
  • Death caused by medication not prescribed by a physician
  • Engaging in dangerous hobbies such as skydiving
  • Injuries sustained in war as in the case of the armed forces

People who can benefit from Accidental Death Insurance

If there is an inhibiting factor that disqualifies you from taking a standard life insurance policy such as your occupation, health etc,

If you find yourself in a situation that exposes you to an accident all of a sudden, such as traveling and you are concerned that your plane might crash, then an accidental death insurance cover would be good for you.

Unlike a typical life insurance cover that might take sometime to get, an accidental death insurance cover can be acquired on the same day.


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