Accidents can and do happen anytime and in any workplace, no matter how much attention and care is paid to safety procedures and preparation. Accidents occur more often where physically demanding jobs are the order of the day, but can also crop up in work situations where the employee sits at a desk most of the day staring at a computer screen. One never knows.
To be more competitive with other businesses, employers will often attempt to offer the most comprehensive employee benefits packages they can afford to prospective employees. Accident insurance affords workers a sense of peace of mind resulting from the many protections for the employee in a variety of workplace environments.
This kind of coverage provides great protections to both employer and employee, operating as part of an entire package that can provide significant compensation for the outside costs an employee may face after an accident not normally covered with their standard health policy. Accident insurance goes beyond normal health insurance coverage and supplements it.
How it Functions
Accident insurance (also known as occupational insurance) can pay out either a lump sum amount or payments over time. Options include:
• Accident liability limits
• Level benefit for disability and death
• Deductible amount per incident
Each policy has a myriad of levels of coverage depending on the workplace environment and the employee benefits package that the employer already offers. Coverage types go from the provision of medical payments for a single incident to a full disability payment plan that matches (or comes close to) your normal salary for a certain pre-determined period of time.
Types of Coverage
An accident policy can come in the form of specific liability coverage or as a more comprehensive plan. This type of liability coverage is often referred to as contingent coverage and is usually well-suited for those who work as independent contractors or are owner-operators of a business. The policy activates once a claim is made and can often have optional benefits such as extra coverage for the employee’s spouse and children. Many comprehensive plans offer benefit levels that start when the claim is filed. There is accidental death and dismemberment coverage, medical expense assistance and long-term hospital care. Call our insurance professionals today for more information.