What is
personal accident cover?
Personal accident cover is a type of insurance that protects you and your family financially in the event of a serious injury. If you have a qualifying accident, you’ll receive a payout that you can use to cover your living expenses and medical bills while you’re unable to work.
What counts as an accident?
An accident is defined as an unforeseen or unexpected event. This means that personal accident cover won’t cover you for injuries caused by illness, disease, or self-inflicted injuries.
Why do I need personal accident cover?
Even if you have health insurance, personal accident cover can provide additional financial protection in the event of a serious injury. Medical bills can be expensive, and if you’re unable to work, you may lose income. Personal accident cover can help you to maintain your lifestyle and provide for your family during this difficult time.
What accidents
are covered by personal accident cover?
Personal accident cover protects you against a wide range of accidents, including:
- Workplace accidents
- Criminal violence
- Road traffic accidents
- Slips and falls
- Amputations
However, it’s important to note that personal accident cover doesn’t cover all types of accidents. For example, it typically won’t cover:
- Self-inflicted injuries
- Injuries caused by drug use or alcohol intoxication
- Injuries caused by sickness or disease
- Injuries sustained by professional athletes
- Injuries sustained while committing a crime
- Injuries sustained in war
- Injuries caused by radiation or other nuclear accidents
Here are some examples of accidents that would be covered by personal accident cover:
- A construction worker falls from a ladder and fractures their leg.
- A person is mugged and stabbed.
- A person is hit by a car while crossing the street.
- A person slips on a wet floor and breaks their hip.
- A person loses their leg in a boating accident.
Personal Accident
Examples
To help you understand what types of accidents are covered by personal accident insurance, let’s look at two scenarios involving a diabetic policyholder and an amputation:
Scenario 1:
A person with diabetes experiences dizziness due to low blood sugar levels while on a ladder and falls, injuring their leg. The leg subsequently needs to be amputated.
Scenario 2:
A person with diabetes suffers complications from their diabetes that result in the amputation of their leg.
Only Scenario 1 would be covered by a personal accident policy because it involved an “unforeseen or unexpected and unfortunate occurrence.” The amputation in Scenario 2 can be directly attributed to the policyholder’s diabetes, not to an accident.
In other words, personal accident insurance covers accidents that are sudden, unexpected, and caused by external factors. It does not cover injuries or illnesses that are caused by pre-existing medical conditions.
Who Needs
Personal accident cover?
Personal accident cover is a good idea for people who work in high-risk environments, such as construction sites, where accidents are more likely to happen.
It can also be a good idea for people who don’t have life insurance or car insurance policies that include personal accident cover.
Here are some other people who may want to consider getting personal accident cover:
- Self-employed people who rely on their income to support themselves and their families
- People who have a lot of debt
- People with young children or dependents
- People who participate in dangerous hobbies or sports
If you’re unsure whether you need personal accident cover, it’s a good idea to talk to a financial advisor. They can help you assess your needs and find the right policy for you.
How Much Does
Personal accident cover cost?
Personal accident cover is surprisingly affordable, starting at just a few pounds a month.
You can get cover for anywhere between £40,000 and £100,000 for a single person, or you can bundle personal accident insurance for you and your partner for less than the cost of two separate policies.
Your premiums won’t go up as you get older, unlike with other types of insurance, because anyone can be involved in an accident at any age.
You also won’t usually need to disclose your medical history or take a medical exam, as pre-existing conditions don’t have a big impact on your chances of having an accident.
However, you may age out of your policy, and most policies lapse once you reach your 80s.
Contact.
LET’S TALK.
To discuss how we can help you please contact us using the details below for an initial chat or to arrange an appointment with one of our Advisors in Cornwall.
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