Accidental death and dismemberment is not something anyone wants to think about, but serious injuries and worse are a – very unfortunate – fact of life. And on top of physical and emotional devastation, many employees or their families are further burdened with financial strain from accidental death and dismemberment.
While health, disability and life insurance coverages help, they may leave gaps in coverage. As an added layer of security – that hopefully none of your employees will ever need – accidental death and dismemberment insurance can help.
If one of your employees has a serious accident, either on or off the job, your company probably has several types of insurance coverages.
These include medical insurance for the doctor and hospital bills, disability insurance to replace some of the wages lost if the injury requires a lengthy absence from work, and life insurance in the very unfortunate event that the accident leads to the employee’s death.
However, sometimes there are expenses that exceed coverage, including medical care, construction of ramps or other accommodations for wheelchair access or daycare so that a spouse can return to school or work.
Accidental death and dismemberment can be characterized as a just-in-case benefit for these circumstances, providing important, much-appreciated financial support. It pays a cash benefit based on the type of injury and on the amount of coverage the injured employee has.
Accidental death and dismemberment is one of the most economical types of insurance to bring into the workplace and can round out an employee benefits package at little cost to employees and little or even no cost to employers. It can come as part of a basic group life insurance policy, as a standalone or as a voluntary benefit.
Whether the recipient is the insured or one of the surviving beneficiaries, accidental death and dismemberment insurance fills gaps left by other types of insurance by providing a cash benefit that can be used for any purpose.
A Few Things Accidental Death and Dismemberment Insurance Can Cover
-Counseling for the injured insured and/or bereavement counseling for surviving family members.
-Career retraining for spouses who need to increase their earnings capacity.
-Education for children enrolled in college or other post-secondary schools.
-Daycare when a spouse returns to work or school.
-A seat belt and/or an air bag benefit when the insured is in an auto accident and wearing a seatbelt and/or is protected by an airbag.
-A public transportation benefit if the accident takes place while the insured is traveling as a passenger on public transportation.
-An occupational assault benefit if the event is a criminal assault that occurs on the business premises.