Did you know that personal accidents, property damage, and liability accidents are the three most common risks for small and medium-sized businesses? But don’t worry: there are insurance solutions for these situations, too.
There are some insurances, whether we have them or not, we have all heard of them, and we all know what they cover: car, home, death, health, for example. But there are others that are just as useful but less well known. One of them is personal accident insurance, which is very interesting protection from a personal, professional and labor point of view.
What does personal accident insurance cover?
As its name indicates, accident insurance covers bodily damage that the insured may suffer as a result of an accident, it covers both unfortunate events in private life and unfortunate events in the development of professional activities.
All companies are required to take out insurance to protect their workers in the event of accidents at work and occupational diseases. Guarantee that employees or self-employed workers have the necessary conditions to protect them from damages caused by accidents at work. To work. However, there are some exceptions to this general and mandatory coverage, so it is advisable to consider other alternatives to complement these exceptions.
In the case of non-mandatory accident insurance, it is important to clarify that, by its definition, “bodily injury” is an act or event that causes harm to a person due to violent, sudden, external and involuntary causes. For example, this aspect differentiates it from life insurance. In this way, the personal accident insurance coverage will only take effect when an event that meets this condition occurs.
For this reason, despite its obvious advantages, it is especially important to obtain sufficient information before entering into a contract to cover the areas of greatest interest to you and to give you a full understanding of any exclusions.
What types of personal accident insurance exist and how do they work?
This type of insurance can be written with another type of insurance, or it can be written separately. In turn, if they are contracted individually, there is an individual or collective choice.
Personal Accident Insurance
o Personal Accident Insurance is triggered in the event of a loss that causes damage to the Insured as a result of the activities provided for in the policy. In general, this type of insurance includes:
- flat rate in case of permanent or total professional disability caused by the accident.
- a daily pension in case of temporary disability during rest days.
- health costs with the limits established in the policy.
Likewise, they usually also include compensation for heirs (or the beneficiaries stipulated in the contract ) in the event of the death of the insured as a result of the accident.
Collective Accident Insurance
On the other hand, group personal accident insurance (with similar coverage) has multiple policyholders belonging to a community (for example, employees of the same company) covered under the same contract. This accident insurance option can be an attractive investment for any business looking to protect itself from the unexpected. Let’s not forget that, traditionally, personal injury is one of the three most common risks for small and medium-sized businesses, along with property damage and accidents related to civil liability.