What Determines Accidental Death Life Insurance?

By Patrick Cooper Posted in Life Insurance News

Accidents are completely unpredictable and unfortunately are a part of everyday life. Have you made the proper precautions to ensure that your family would be financially sound if something were to happen to you? Purchasing enough life insurance to cover any expenses associated with a death and to replace the lost income is a very important thing to do if you are a head of a household.

Is Your Family Financially Prepared If A Fatal Accident Occurs?

Losing a family member to an illness can be very hard on a family both emotionally and financially. However, losing a family member to a sudden accident is often financially detrimental. The unexpected cost of a funeral and sudden decrease in income can put a huge burden on a family. Having accidental death life insurance can prove to be a good safety net.

Accidental Death Life Insurance Will Provide Your Beneficiaries With Additional Funds

Accidental death life insurance is a special type of life insurance that is effective if the policyholder dies from what is determined to be an accidental cause. An example of an accidental cause could  be a fire or train accident. Typically accidental death life insurance can be added to your already existing life insurance policy.

When you purchase your life insurance policy you are insured for a set amount of coverage determined by how much you pay in premiums. If you have accidental death life insurance added to your policy and die from an accident your beneficiaries will receive more than the set coverage amount from the insurance company. Usually with accidental death coverage your beneficiaries will receive two to three times the coverage amount that you are insured for.

Death And Dismemberment Coverage Is A Common Type Of Life Insurance

Most accidental death life insurance policies will also come with dismemberment coverage as well. These policies are commonly known as death and dismemberment plans. This type of plan will provide insurance if you lose a limb, your sight, speech hearing, or become paralyzed.

Recently the number of homicides across the US that are posed as accidents to gain life insurance money have increased. To protect the insurance company from paying out benefits for such scenarios thorough investigations are often required before releasing any funds.

Related posts:

  1. What Is Accidental Death And Dismemberment For Cheap Life Insurance?
  2. What Is The Difference Between Accidental Death Vs Whole Life Insurance?
  3. What Is A Guaranteed Death Benefit On A Life Insurance Policy?
  4. What Is A Suicide Clause For Low Cost Life Insurance?
  5. Why Is Life Insurance Important?

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