FAQ - Personal Accident

Q.
What is Permanent Total Disablement, Permanent Partial Disablement & Temporary Disablement?
Ans

Accidental Death (AD): In the event of Death due to an accident, the insurance company shall pay 100% of the Sum Insured to the nominee of the Insured Person.

Permanent Total Disability (PTD): Here, the disablement is of permanent & irrecoverable in nature and is absolutely total due to an accident. Under this disability, the insured person is prevented from engaging in a gainful employment of any kind (Example, Paralysis, Loss of 2 limbs, etc.).

Generally, the compensation paid varies from company to company. Most of the company pays a compensation of 100% of the Sum Insured. However, there are certain companies which offer higher compensation like

  1. Bajaj Allianz (Personal Guard) - pays 125% of the sum insured as compensation,
  2. Bharti AXA (Smart Individual Personal Accident Policy) - pays 150% of Sum Insured as compensation;
  3. Cigna TTK (Lifestyle Protect Accident Care Plan) - pays 200% of the Sum Insured (In the event of PTD in Common Carrier);
  4. Max Bupa (Health Assurance) pays 125% of SI (Level 3 & 4);
  5. Star Health (Accident Care Individual Plan) - pays 150% of the Sum Insured.

Permanent Partial Disability: This benefit is similar to Permanent Total Disablement, but in this case the disablement is only partially & not complete. In the event of a claim, the insured shall be compensated as per the benefit table (Varies for all companies).

Few instances to list are - Loss of one finger, Loss of one toe finger, loss of leg, loss of one eye or hearing in one ear, etc. Here, the coverage generally starts from 5% of the Sum Insured and goes up to 100% of the Base Sum Insured in certain cases depending on the disablement. 

Temporary Total Disability (TTD): It is a disablement which is total but for a temporary period only. Under this disability, the insured cannot wholly and continuously perform each and every duty pertaining to his job/occupation. Certain companies pay a compensation of 1% of the Sum Insured or Max. Rs. 5,000 per week for a Max. Period of 100 weeks. 

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