One downside of taking a long trip is the greater risk of an accident. Airplane crashes, train wrecks and highway collisions are a few well-known dangers. To address this concern, many travel insurance plans provide accidental death and dismemberment coverage. It compensates policyholders when they die or suffer certain severe injuries in accidents.
Death
If a person with travel insurance inadvertently dies during a trip, accidental death and dismemberment coverage pays a substantial benefit to another individual. Most policyholders leave the money to their spouses, children or parents. The benefit will supplement any life insurance payments that a family receives.
Injury
People with this insurance coverage are eligible for compensation when accidents cause dismemberment or severe eye injuries. Most AD&D plans pay benefits when a person loses an arm, leg, foot or hand. They supply compensation if a policyholder completely loses the ability to see with at least one eye.
Amounts
Most insurers provide coverage amounts that range from $25,000 to $50,000. Subscribers normally receive the full benefit if they die. The same is true if they lose two limbs and/or eyes within six months of an accident. Some policies extend this period to 12 months.
When a person loses one limb or eye, travel insurers usually pay 50 percent of the total benefit. Keep in mind that AD&D policies provide fixed amounts of compensation regardless of actual medical or burial costs. The benefits are paid in addition to any health insurance reimbursement that an individual receives.
Varieties
Some insurers limit accidental death and dismemberment coverage to certain types of accidents. Policies may stipulate that subscribers only receive payments if they become involved in airplane crashes. Other companies restrict this coverage to mass transportation, such as trains, buses, airplanes and ships.
The most comprehensive AD&D plans cover all activities during a trip. They are sometimes known as “24-hour” policies. This means that a person can qualify for benefits after crashing a rental car, falling off a cruise ship or getting hurt in a malfunctioning hotel elevator. Such coverage is particularly valuable for vacationers who frequently walk or ride bicycles.
Basically, this portion of travel insurance helps protect policyholders and their families from the costs of travel-related accidents. Our website enables users to compare rates and find economical yet comprehensive coverage. Be sure to read the terms of each AD&D policy carefully; benefits and qualifications vary from one plan or insurer to the next.
