Chances are, you are not fully covered if you’re injured in an accident. Health insurance has deductibles and co-pays. Workers' compensation only covers you for workplace accidents. Disability insurance replaces income, but doesn’t cover treatment costs and other expenses you may incur if you’re hurt.
In 2018, the CDC reported nearly 25 million emergency room visits due to unintentional injuries in the U.S. — north of 67,000 per day and just shy of 2,800 visits per hour.
One way to fill any gaps in your coverage is to purchase accident insurance. You may be able to obtain this coverage through your employer.
A number of employers are offering group accident insurance to their employees. It’s a way for companies to add to their benefits packages without increasing their costs. It’s also a way to help employees supplement their group health insurance to fill gaps that can lead to large out-of-pocket costs. Group accident insurance is similar to personal accident insurance. Accident insurance is a supplemental insurance policy designed to provide a financial benefit to help cover the costs of being injured in an accident. Accident insurance policies pay out a benefit if you are injured in a manner listed in the policy. The main difference between personal and group accident insurance is that group policies are available to members of a group, such as employees of a company. This typically makes it cheaper to own because the insurance company is spreading its risk over several policyholders. Also, eligible employees are usually guaranteed to receive coverage without answering health questions or having a physical exam.
In the typical group accident insurance plan, employees pay the entire premium cost through payroll deduction. They choose who to cover and pay the premiums through payroll deduction. In some plans, employees can keep their coverage if they leave their employer, known as portability. Most group plans pay an upfront lump-sum benefit based on covered injuries received regardless of other coverages, actual expenses, or treatment received. Payment is made directly to the employee. The benefit can be used any way the employee chooses. This includes medical deductibles and copayments, transportation, food and lodging, child care, lost income from missing work, home healthcare needs, and more.