Personal Accident Insurance is a type of insurance policy widely used both domestically and when travelling abroad for any reason.
It can normally be used in conjunction with a travel insurance policy, but it is important to understand the differences between the two.
A personal accident policy is designed to provide benefits in the event of death or serious injury to the policyholder or their family.
This usually includes :
- Accidental death
- Permanent disability by way of accident
- Temporary disability by way of accident
- Loss of various limbs by way of accident
- Loss of use of certain parts of the body temporarily
- Cash payment relating to staying in hospital ( usually own country only)
These benefits will all have specific cash sums allocated to them, and there will be very specific exclusions to the policy which normally include the following :
- Any type of illness or sickness unrelated to any accident that might have happened
- Any type of self-harm or self-inflicted injuries
- Anything that constitutes dangerous or reckless behaviour, including driving under the influence of alcohol or drugs
- Professional sports, as well as a lot of what is considered dangerous sports, which the policy would spell out.
- Any type of pre-existing condition
These exclusions are meant to make it clear in one sense that these benefits are different from what might be expected under a normal travel insurance policy.
They are designed to be of value to the policyholder purely in the event of an accident, to provide some financial help in what could be an overwhelming emotional situation.
Some travel insurance policies will include some or all of the benefits normally associated with a personal accident policy as part of their standard benefits.