Personal Accident Insurance Kenya – What Does It Cover?Personal Insurance-
Accidents or mishaps may strike you unexpectedly and adversely affect your life. While the time turns hard on you, it becomes harsh for your loved ones. Your accident can alter your family’s life completely.
The financial sufferings add to the emotional turmoil that the family bears after you encounter a sudden mishap. Rather, the monetary loss upsets their lives for a long period time. It is hard to avoid unexpected accidental situations and the resulting damage, however, you can ensure your family doesn’t have to end up facing the financial concerns during these difficult times.
The best possible way to cover up the risk and protect your loved ones from such situations is to get a personal accident insurance.
What is the need of personal accident insurance?
You might feel that your life is running on a smooth track and it would be waste to spend your money on a personal accident insurance plan. However, you might never know when you encounter an unfortunate event of death or disability and put the family at risk of financial and emotional loss.
According to statistics, every year young people below the age of 45 die around the world because of road accidents. Likewise, each year several cases of accidents are reported in Kenya that lead to severe physical damage.
A term life insurance and health policy provide coverage only for your death and hospital expenses respectively. However, after facing a serious accident that leaves you totally or partially disable for rest of the life, can possibly result in loss of income for several months or even years.
It is not in your control to keep away from accidents, but you can take care of the finances in advance and diminish their impact.This is where a Personal Accident Insurance policy will prove to be beneficial.
A Personal Accident Insurance Kenya is an insurance policy that covers a you for accidental death and disablement. The disablements usually include permanent total disablement, permanent partial disablement and temporary total disablement. The coverage terms may slightly vary for different insurance companies.
Related – 6 Things You Should Do After A Car Accident In Kenya
How can you acquire a Personal Accident Cover?
There are several insurance companies in the Kenyan market that offer accident covers in various ways. While a few may offer the accident cover as an option with other insurance plans, others may provide this as a sole coverage plan.
We at Allianz, Kenya ensure you acquire the best accident cover according to your needs. Our team helps you take a wise decision while choosing the required insurance plan.
Insurance companies may offer you to buy an accident cover in the following ways:
- As an optional rider with a life insurance policy
- As an add-on policy to your motor insurance or home insurance
- As a group insurance cover from your employer
- As a full fledged plan.
Allianz suggests that if you are someone who is working in high risk jobs or are the sole breadwinner of the family, then you must opt for the full fledged Personal Accident Insurance policy. The standalone plan provides a comprehensive cover, that has further more benefits than those enlisted for riders in other forms of insurance.
In case you purchase the accidental cover as an option with other insurance policies, the coverage amount will be restricted to a proportion of your sum assured. This may turn down the purpose of the cover in situations where the cause of death is accident. Therefore, it is highly recommended to choose full coverage plan.
However, if you drive less or are at least risk of encountering an accident, then we recommend to invest in health insurance plan or life term policy and choose accident cover as an add-on policy or as an optional rider.
What factors are considered while calculating the Personal Accident Insurance Costs?
The premium calculated by the insurers for the accident insurance policies depends upon various factors. However, unlike the term life or health plans, accidental coverage plan is independent of your age. Rather, the insurance companies will take into account other factors such as:
- Type of profession and working conditions
- Monthly income
- Marital status
- Number of dependents
We at Allianz consider your occupational hazards or risks that you might be exposed to during the working hours. E.g. we would consider you at low risk if you are employed in the administrative department. However, we would classify you under the high-risk category in case you are a journalist or handle cash or work in facilities like mines or chemical plants and similar.
The cost will also include the different coverage benefits chosen by you. The more the extent of coverage, the costs will be added to the premium. However, the premium calculated for such policies is much less than those paid for a term policy or health insurance plan.
What does Personal Accident Insurance covers in Kenya?
A personal accident insurance is a coverage plan that ensures your finances are taken care of after you encounter an unfortunate event of death and disability. We at Allianz, Kenya provide coverage for the following aspects:
- Your medical bills incurred from the mishap
- Compensation for the loss of income during hospitalization and recovery
- In extreme cases, costs for funeral arrangements so that your family doesn’t have to stand alone during the hard times.
In broad terms, after buying Personal Accident Insurance, you and your family will be compensated financially in the following situations:
- Death- The compensation amount in case of death following an accident is equivalent to the total cover amount of your policy. It can be an immediate death or death within a specified period of time after the mishap.
- Permanent total disability- This is defined as a condition where you can no longer continue to work due to the loss of essential body parts and/or organs. E.g. loss of vision-blindness, loss of both limbs etc. The compensation here can be either up to the cover amount or some percentage of the amount, depending on your policy terms.
- Permanent partial disability- It is defined as the condition in which you become partially disable. E.g. loss of one limb or eye.
- Temporary partial disability- In case of temporary disabilities, you will be entitled to a fixed amount as decided based on the policy terms.
We at Allianz Kenya make sure you get the best support when it’s most needed. Our coverage plan has been designed to help you and your family lead a peaceful life even after it has been disturbed due to the accident.