Question : What is the difference between accidental death life insurance and regular life insurance?
What is the difference between accidental death insurance and regular life insurance? Which is a better buy? Wouldn't all deaths (excluding illnesses) be accident? If you only buy life insurance and don't include accidental death insurance then what is usually excluded? Thanks!!!(I know its different for every insurance company, I am just wondering what generally the outcomes would be)
- asked by Sweetask
All Answers:
Answer #1
answered your own question - illness cover only orillness and accident
- answered by Laura H
Answer #2
accidental death life insurance , will coveraccidents Normal dosent
- answered by funkid125
Answer #3
accidental death only pays off if an accidentaldeath...regular life insurance pays off on anytype of death,minus whatever policy restrictsionsare in place.
- answered by jaydragon0
Answer #4
Accidental life pays only if you die by anaccident. Read the policy to know what thedefinition of an accident is in eachpolicy.Regular life pays no matter how you die,unless it has exclusions in it for war, suicide,or "acts of God"-also different in each policy.
- answered by curiositycat
Answer #5
If you died from natural causes, you would notrecieve any money from an accidental policy. Whereas a regular policy pays for everything butan act of war, much better way to go. If youengage in a lot of risky endeavors though, youmight want both, accidental are usuallycheaper,since they only pay out in certain cases,and your loved ones would then get more, doublepolicies.
- answered by psycmikev
Answer #6
Accidental death insurance pays only if theinsured person dies in an accident,Regular lifeinsurance pays when the person dies of any causes,accident or illness. The first one is very cheap,because accidental death is highly unlikely.Regular life insurance costs more, and for severalmore dollars they even offer to double the paymentif the person dies accidentally.If you have afamily and dependents, you should buy regular(like term) life insurance.
- answered by Christy
Answer #7
Accidentaly only covers accidents. If you die ina car wreck, an object falls on you, etc. Illnessisn't included.Straight Life Insurance is betteras it will cover everything except suicide andthey will have some terms that you have to agreeto. Ie it may exclude things like sky-diving. Itwill have few exclusions. Usually people buynormal life insurance with an accidental deathadd-on aka rider. If you die normal, you get 100%of your payout. If you die via accident they willpay some multiple of your policy ie 2x the normalpayout.Realistically though, what are the oddsyou'll die of an accident? Its like playing lottoif you ask me. Buy the amount you need to protectyour family with a regular policy. I recommendterm as it is the most cost effective.There aremany sites like insure.com and matrixdirect.comthat offer excellent brokerage services to findyou the best, cheapest policy.
- answered by Dax
Answer #8
AD&D - Accidental Death and Dismemberment isusually sold as a rider on a Life policy. If youdie in an accident it will pay a percentage more(usually 2 to 3 times higher) than the face value. A lot of the free insurance issued by banks, etc.are AD&D policies.
- answered by Kevin C
Answer #9
There is really no difference between the two.They are both life insurance. The words"accidental death" is to entice the consumer topurchase it. It's like saying "Extra Special LifeInsurance Just For You." lol.This is how lifeinsurance works:You pay premiums into the policyfor a certain amount of coverage. If you add"Waiver of Premium" rider to it, this will allowyou to use some of the face amount in case youbecome disabled. If you die (natural oraccidental), your beneficiary will get the faceamount. If there is cash value in the policy, thiswill be kept by the insurance company (kind ofsucks since you're the one who paid for it).
- answered by obe231
Answer #10
Obe is an idiot. Cynthia is just wrong. Most ofthe middle answers got it right. Accidental deathis cheaper because the insurance company is muchless likely to have to pay a death benefit. Asstated before, reading the fine print of an AD&Dpolicy or rider is very important because theywill define what constitutes death by an accident,usually even down to how long you live beyond theoccurence of the accident. In other words, if youare in an accident, but live on in a coma for amonth or two, your accidental death policy mightnot pay a benefit. Also, if you are in a carwreck, for example, and end up in the hospital butthen get an infection and die, too bad. Typically,you have to die as a direct result of an accidentand within 30 days or so of the accident in orderfor the policy to pay.
- answered by Financial Answer Guy
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