Accidental Death

Other financial institutions market several offers and products for accidental death and dismemberment. Banks, credit providers, mortgage companies and other financial organizations may well have promos for AD&D. However, those other products should not be confused with the coverage provided by a life insurance policy. All the more, one should, on no account, depend on accidental death and dismemberment when it comes to preparing for your family’s future in the event of your death.

The reason why many people are attracted to accidental death and dismemberment policies is because they come cheaply and the approach is straight forward. An average person with no prior knowledge about these policies could easily understand what they are all about.

Initially, buying an AD&D policy looks like a wise investment for everyone. A designated beneficiary will collect a lump sum upon the accidental death of a policy owner. If an arm or leg is lost, or for example, vision is lost; a significant amount would still be received. In the policy application, specific details of the payments and conditions will be stated. The main question is, will you really get the best value for your money in an AD&D policy?

Data from the Center for Disease Control and Prevention states that 121,599 Americans died from unintentional injuries. This information was collected in 2006. In 2009, the National Center for Health Statistics reported that even if you are older than 45, you are still more likely to die due to natural causes than die from an accident. Age plays a highly significant role in the varied causes of death. For example, a gentleman who is 35 years of age and who does not smoke is four times at risk of dying in an accident, not a heart disease, before reaching the age of 45. For women who share the same age, they stand twice the risk of dying in an accident than from a terminal disease like breast cancer. However, if you are older than 45, the chances of death due to natural causes are more probable than those caused by accidents. Other considerations must also include the type of activities one engages in.

There are other options when it comes to coverage. Due to the fact that there are specific circumstances that need to be met upon death, some individuals prefer to invest in other types of policies that offer wider coverage. One option could be the purchase of a life insurance policy. This will provide coverage for the risks that are most likely to happen in a person’s lifetime. These include, death from old age and other terminal diseases part of the conditions of a standard life insurance plan. Health insurance policies compensate its policy holders when they are injured or suffered an accident. Medical bills and hospitalization expenses will be taken care of but a lump sum will not be paid to beneficiaries in cases when vision or a limb is lost. Workers compensation is also provided in majority of corporations when your injury, for instance a back injury, happened because of the job.