In insurance, accidental death and deductions (AD & D) are policies that pay benefits to the recipient if the cause of death is an accident. This is a form of limited life insurance that is generally cheaper.
Video Accidental death and dismemberment insurance
Unintentional Death
In the event of an accidental death, this insurance will pay benefits other than life insurance but only up to the total amount set apart from other insurance held by the same insurance company, held by the client. This is called the dual coverage coverage and is often available even when accidental death insurance is just an addition to the usual life insurance plan. Some closed accidents include traffic accidents, exposure, killing, crashes, heavy equipment accidents and drowning. Unintentional death is the leading cause of fifth death in the US as well as in Canada.
Accidental mortality insurance is not an investment vehicle and thus clients pay only for ongoing protection. Most policies need to be updated regularly (with revised terms), although client approval with updates is often assumed implicitly.
General exceptions
Every insurance company keeps a list of events and circumstances that void the insured's right for the unintentional benefit of his death. Death due to illness, suicide, non-commercial radiation, war injury, and natural causes are generally not covered by AD & amp; D. Similarly, deaths while under the influence of unpreserved drugs or alcohols are likely to be released from coverage. Overdose with toxic or toxic substances and athlete injuries during professional sporting events may void the right to claim as well.
Some insurance carriers will adjust their clients' coverage to include some of the above risks, but any such extension will be accompanied by an increase in premiums.
Because of these restrictions, the process of claiming benefits may be relatively long; the client who died may have to undergo an autopsy and the accident may have to be investigated officially before the claim is approved by the insurer.
Maps Accidental death and dismemberment insurance
Dismemberment
The amount of a fraction of the policy will be paid if the protected employee loses frills or sight by accident. In addition, AD & amp; D generally pays benefits for lost limbs, fingers, legs, vision and permanent paralysis. The types of injuries covered and the amounts paid vary by insurance and package, and are explicitly stated in the insurance policy.
Type of coverage
There are four general types of AD & D group plans offered in the United States:
- Additional Group Life - Benefits of AD & amp; D is included as part of a group life insurance contract, and the amount of benefits is usually equal to the group's life benefit;
- Voluntary - AD & amp; D is offered to group members as separate elective benefits, and premiums are generally paid as salary deductions;
- Travel Accident (Business Trip) - Benefits of AD & amp; D is provided through an employee benefit plan and provides additional accident protection to workers when they travel on business (all premiums are usually paid by employers);
- Dependency - Some groups of AD & amp; D plans also provide coverage for dependents.
History
In 1884, the German Reichstag allowed a bill for accidental death and withholding ( Unfallversicherung ).
See also
- The Bureau of Labor Statistics
- Life insurance
- Term life insurance
- Permanent life insurance
- Health insurance
- Health care
References
Source of the article : Wikipedia
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