Consider your priorities in financial support of the people you love. Perhaps you are looking for additional protection to complement your existing life insurance policy. Perhaps you need a quick approval without having to answer any health questions. Or, you might want to make sure your heirs are protected in the unlikely event that an accident occurs.
Your new job places you in potentially dangerous environments. You want more life insurance, but are not able to wait for approval.
When you apply for your benefit, the lump sum cash payment will be paid to your family. The money can be used to pay off their mortgage or credit card bills, or for saving for the future.
You've been turned down to term life. Your eligibility for term or other insurance plans may be affected by certain medical conditions, such as diabetes or a past history of cancer. You may not be eligible if you work in high-risk positions, such a pilot or as a construction worker. Unintentional death is not a concern.
Affordable protection. Life insurance is much more affordable than many people believe, especially for accidental deaths. ADB plans offer less coverage than traditional policies. You are only covered for an accidental death.
An AD&D Policy can help you protect against accidental death, if your occupation is dangerous, or if you engage in risky hobbies, sports, or other activities.
The principal difference between AD&D and life insurance is the circumstances under care a policy pays a death benefit. AD&D insurance has a lower premium because coverage does not include payouts for injuries. If you are unable to work or have a family member, you might need life insurance.
Typically, accidental death covers exceptional circumstances, such as exposure to the elements, traffic accidents, homicide, falls, drowning, and accidents involving heavy equipment. AD&D insurance is supplemental life insurance and not an acceptable substitute for term life insurance.
Accidental death insurance
While accidents only accounted for 5.4% of deaths in the United States in 2016, they made up 30.2% of deaths for people between the ages of 25 to 44. This is why accidental death insurance typically isn't worth it if you're near retirement age or just need coverage for end-of-life expenses.
When accidental deaths occur, though, typical causes of accidental death or dismemberment claims are motor vehicle accidents, falls, poisoning, drowning, and gunshot injuries. Death by homicide is also considered an accidental death. But not every death resulting from such causes would be considered accidental.