Personal accident policies

Personal accident policies provide a lump sum if you should lose one or more limbs or your eyesight as a result of an accident occurring anywhere in the world. On subsequent death, this sum assured would be payable to your dependants. Where partial disablement arises, the benefit is usually paid as a fixed weekly income (the amount depending on the seriousness of your disability) for a maximum period.

A typical standard policy provides, for one unit of premium:

On your death after an accident: £i,000

Loss of two limbs or two eyes: £4,000

Loss of one limb and one eye : £4,000

Loss of one limb or one eye: £6,000

Permanent disablement from other than the loss of limb or eye:

£4,000

Temporary total disablement : £60 per week for up to 304 weeks

Temporary partial disablement: £40 per week for up to 304 weeks

You may normally insure for any multiple of these amounts for a corresponding increase in premium, though many companies limit the death benefit to £50,000. Your basic cover should include an adequate lump-sum payment (say, £5,000) with at least Lb� a week during total incapacity. Do not save money by accepting lower cover at a smaller premium. Companies are flexible in adapting to the benefits of your choice. Thus, you may insure against death only, or, in addition, for a greater weekly income than the standard disablement benefit.


Personal accident policies

Payroll Giving
It’s all very easy to organise.
Just ask the Personnel or the Payroll Department at your company and, if they already have a scheme, they will give you the relevant forms.  HM Revenue & Customs’ website has a list of Payroll Giving agencies and explains payroll giving in more detail.

Salon Gold Insurance

Cheaper Insurance for Salons, Freelance Hair and Beauty, and Mobile Businesses - click here

read on: Points to watch

Personal accident policies provide a lump sum if you should lose one or more limbs or your eyesight as a result of an accident occurring anywhere in the world. On subsequent death, this sum assured would be payable to your dependants. Where partial disablement arises, the benefit is usually paid as a fixed weekly income (the amount depending on the seriousness of your disability) for a maximum period.

A typical standard policy provides, for one unit of premium:

On your death after an accident: £i,000

Loss of two limbs or two eyes: £4,000

Loss of one limb... see: Points to watch