Personal accident insurance for employees is the same as the personal accident insurance or disability insurance in which the insurance company is liable to pay a certain amount in case of death or disability of the insured person. Group personal accident is a personal accident policy given to a group of members. The group personal accident insurance policies are usually taken by the organizations to cover the life of their employees. The premium under the group personal accident policies would be paid by the employer whereas the cover would be enjoyed by the employees.
Let us understand the coverage under the group personal accident policy:
The group personal accident policy covers the accidental death of the insured person. The death benefit would be payable to the nominee of the insured person. Death benefit under the group personal accident insurance for employees would be the sum assured selected at the beginning of the policy period. Higher the sum assured, higher would be the claim payout.
The group personal accident insurance policy would continue to exist even after the claim is paid unlike the individual personal accident policy which ceases to exist after the claim is paid.
Permanent Total Disability
The other section under the group personal accident policy is the coverage for permanent total disability. Disability is a physical or mental condition that limits a person’s movements, senses, or activities. Permanent total disability is if the disability is irrecoverable and permanent in nature. For instance, the loss of both limbs or legs due to an accident or any accidental cause which is the total disability and permanent in nature.
Permanent Partial Disability
Permanent partial disability is the condition in which the disability is partial but permanent in nature. The disability is permanent which means it’s irrevocable in nature. Loss of one limb or one eye is considered a permanent Partial disability as the limb cannot grow back which means it is permanent disability but since only one limb is lost it is partial in nature.
Temporary Total Disability
Temporary total disability is the condition in which the disability is total but temporary in nature. The claim under this section is paid for a limited period in weekly amounts. Temporary total disability is the disability or inability to perform daily duties due to an accident for a limited period. For instance, the fracture of two legs or two hands can be considered as temporary total disability in which the disability is temporary as it can be recovered after a period of time and the disability is total as both the hands and legs are affected.
Temporary Partial Disability
Temporary partial disability is the condition in which the disability is temporary and partial in nature. For example, the fracture of a hand or leg can be considered as temporary Partial disability as the disability is partial in nature and can be recovered after a period of time making it temporary in nature.
Photo by tirachardz