Your family is heading out on a bike trip. It’s a sunny day, and you’re excited to get out there and enjoy life.
But after a few miles, one of your children falls off their bike. Now, instead of a fun family day out, you’re driving to the hospital and expecting a bunch of medical bills.
Accidents happen all the time, even to people who live relatively risk-free lives, says Jeff Baechle. He’s the vice president of Individual Market Product Strategy at UnitedHealthOne.
And Baechle knows all too well about the above situation. Baechle says he was on a vacation in Colorado one time when a family member was injured in a bike accident.
While accident insurance can’t stop accidents from happening, it can provide you with coverage for some of the out-of-pocket costs that happen as a result of an accident.
Why get accident insurance? Here are five things you need to know before purchasing it.
Interested in a supplemental accident insurance plan? Find more information here.
1. Accident insurance can cover everyday injuries.
Some people might think accident insurance is needed only if you’re accident-prone or work a dangerous job.
But Baechle says accident insurance can cover everyday accidents like broken bones or burns. Your accident insurance plan can also include coverage for your children.
What does accident insurance add to your traditional health insurance policy? It all depends on your plan, says Baechle.
In some cases, accident insurance will cover what medical coverage does not. “Some accident plans may pay for accident expenses even if health insurance helps pay for other expenses,” notes Baechle. Reading the fine print can help determine how your policy covers your expenses.
The benefit money you get from accident insurance can potentially even be used for personal expenses like car payments, daycare or even groceries.
In other cases, though, accident insurance can pick up where health insurance coverage leaves off.
Generally, accident insurance has a maximum amount it will pay per accident or per year, so knowing how your plan works will help you avoid surprises.
2. Accident insurance can cover serious injuries — and even death.
Sometimes it’s difficult to think about the worst-case scenario. “There is a reason it’s called an accident,” says Baechle. “No one expects it to happen.”
Some accident insurance can pay you or your family a lump sum for an accidental injury or even accidental death, providing some financial help during a difficult time.