What Are Examples Of Accidental Death?

Accidental death benefit is an additional payment due to the beneficiary of an accidental death insurance policy. It is usually a rider connected to a life insurance policy that pays in addition to the standard benefit payable if the insured died of natural causes. Accidental death benefits are optional riders, so they aren’t included in standard life insurance policies. Below are some examples of what qualifies as accidental death:

Death caused by illegal activities or an illness is not considered accidental. Hazardous hobbies such as race car driving or bungee jumping are often excluded as well.

Accidental death and dismemberment insurance (AD&D) covers accidental death or losing a limb in an accident that causes you to stop working. Workplace injuries, injuries caused by fire or flood, and serious falls are often included. AD&D policies pay a benefit if the insured is dismembered or injured, whereas accidental death benefit (ADB) policies only pay if the insured dies.

Accidental death benefits are important for people who work in or around hazardous environments and for those who drive more than average, either professionally or as a commuter. Some policies’ accidental death benefits may also cover dismemberment, burns, instances of paralysis, and other similar cases. These riders typically end once the insured person reaches a certain age, such as 60, 70, or 80.

Accidental death benefit plans are usually offered as riders or provisions that may be added to basic life insurance policies at the request of the insured party. With a group life supplement, the accidental death benefit plan is included as part of a group life insurance contract, such as those offered by your employer. A voluntary accidental death benefit plan is offered to members of a group as a separate, elective benefit, and premiums are your responsibility. The accidental death benefit plan with travel accident insurance is provided through an employee benefit plan and provides supplemental accident protection to workers while they are traveling on company business.

Adding an accidental death benefit rider to your insurance policy is a good idea if you work in a dangerous environment or have dependents who rely on your salary to pay bills and other costs. Accidents are hard to predict and can lead to financial struggles if a sudden death occurs. By purchasing this benefit, the beneficiary receives the death benefit paid by the policy itself plus any additional accidental death benefit covered by the rider.