Personal accident cover pays out a lump sum which is supposed to compensate you (or your heirs) if you are disabled (or die) as a result of an accident. If you already have life insurance which pays out on your death and/or permanent health insurance which pays out if you are injured, personal accident cover is of limited value.

What is covered

The situations in which the lump sum will be paid out are very specific. The cause of the accident must be violent and not of your own making – insured will be covered if knocked down by a hit-and-run driver, for example – and death or the injuries the insured sustain must be as a direct result of the accident. Provided these conditions are met, the lump sum will be paid if the accident causes:

• Death of insured
• Total and permanent loss of sight in one or both of insured’s eyes
• Total and permanent loss of the use of one or both of insured’s hands or feet (which includes insured’s hands and/or feet being cut off)

Personal Accident

The Company will pay the Sum Assured specified in the Schedule if the Insured sustains Accidental Bodily Injury during the course of The Insured Journey and such Bodily Injury is within 12 months of the date upon which it was sustained the sole and direct cause of the

• Insured’s death,
• Permanent Total Disablement,
• Provided always that the policy will not pay under more than one of the foregoing sub clauses in respect of the same accident and in excess of the amount stated in the schedule.

The company will be liable to pay the Sum assured stated in the schedule in respect of the death of the insured person if the insured person’s age is under 18 years; to be calculated at the time of effecting this insurance.

To understand the nuances of different types of policies and its price, feel free to seek the help of InsuranceMall to select the right products based on your need.