Should I get Accidental Life insurance (AD&D)?

So you spoke with your bank or an agent that recommended you an accidental death and dismemberment insurance policy. Prices are inexpensive and you qualify even with your current health conditions, should you get it?

The bigger question is, what is the catch?

Accidental life insurance is a type of insurance policy that pays out a death benefit if the insured person dies as a result of an accident. It is important to note that accidental life insurance only covers accidental deaths, and does not cover death from illness or natural causes.

Whether or not accidental life insurance is good for you depends on your individual circumstances and needs. Here are some factors to consider when deciding if accidental life insurance is right for you:

1. Your overall life insurance needs: Accidental life insurance can be a good supplement to a traditional life insurance policy, but it should not be relied on as your sole life insurance coverage. If you have dependents or other financial obligations that would be difficult to meet without your income, a comprehensive life insurance policy that covers both accidental and natural causes of death is usually the better option.
2. Your occupation and hobbies: If you work in a high-risk occupation or engage in hobbies that are considered dangerous, accidental life insurance may be a good option for you. This is because traditional life insurance policies may exclude coverage for deaths related to certain high-risk activities, such as skydiving or rock climbing.
3. Your budget: Accidental life insurance policies are generally less expensive than traditional life insurance policies, but they also offer less coverage. If you have a limited budget and are unable to afford a comprehensive life insurance policy, accidental life insurance may be a good option to provide some level of coverage.
4. Other benefits: Some accidental life insurance policies may include additional benefits, such as disability coverage or accidental medical expense coverage. These benefits can provide additional financial protection in the event of an accident, but they also increase the cost of the policy.

In summary, accidental life insurance can be a good option for individuals who has Health conditions or doing high-risk activities, or for those who have a limited budget and are unable to afford a comprehensive life insurance policy. However, it should not be relied on as your sole life insurance coverage, and you should carefully consider your individual needs and circumstances before deciding if it is the right choice for you.

The majority of death claims are usually due to health reasons (natural causes) and generally not due to an accident so keep that in mind. Accidental death and dismemberment is a good supplemental policy and should never be the first option one should go with. We usually combine a traditional life insurance policy with an accidental plan to make sure you are fully insured.