Here is the review of Niva Bupa Personal Accident Policy and their distinct features which cater to the needs of common people.
1. Age Limit, Coverage and Policy Options – The minimum age to enter for individuals aged 18 years to 65 years. Whereas, the children aged between 5 and 21 years are covered under the plan. There are various coverage plans available but, maximum coverage is ₹10 crore. The acceptance is worldwide ie., anytime and anywhere. However, the plans are offered to both individuals and family members. but, family plan coverage is available for up to 2 adults and 2 children.
The plan offers comprehensive financial support for your commitments and liabilities. The plan provides a sum insured up to 25 times the annual income for business owners and 20 times the annual income for salaried individuals.
Also Read: Should I buy double accidental death insurance or a life cover?
2. Accident Death Coverage – In the unfortunate event of your death due to an accident, the beneficiary of the personal accident insurance plan will receive a lump sum amount equal to 100% of the insured sum. The sum insured plans are starting from ₹5 lakhs to ₹10 crore.
3. Permanent Total Disability – If you suffer a permanent total disability due to an accident, which renders you unable to work or carry out daily activities, personal accident insurance plans will pay 125% of the sum insured or percentage of base sum insured.
4. Permanent Partial Disability – This plan will provide coverage for a certain percentage of the sum insured in the event of permanent partial disability resulting solely and directly from an accident, and occurring within 90 days of such an unforeseen incident. The claim will be eligible only if the permanent partial disability persists for a minimum of 6 consecutive calendar months from its onset.
No benefit will be payable if the insured person passes away before a claim is processed under this plan. Additionally, no further claims will be accepted if a claim has already been submitted and processed under this plan.
Also Read: How do you claim insurance if FIR is pending after accident?
5. Child Education Benefit – Applicable for plans where children are covered only, the accidents can have a profound impact on families, particularly when they result in the death, permanent total disability (PTD), or permanent partial disability (PPD) of a parent. Children are often the most affected by these situations. That’s why Niva Bupa offers coverage that includes:
- Lump sum payout for education expenses which is 10% of the base sum insured, maximum up to ₹5 lakhs.
- Lump sum payout for marriage expenses which is 20% of the base sum insured, maximum up to ₹10 lakhs.
- Education counselling and placement assistance
6. Temporary Total Disablement – The benefit provides financial assistance in the event of accidents that result in temporary loss of income. Here’s how it works:
- For earning members – 2% of the base sum insured, up to a maximum of ₹1 lakh per week and for maximum 100 weeks.
- For non-earning members – 1% of the base sum insured, up to a maximum of ₹25,000 per week and for maximum 50 weeks.
This benefit helps cover the financial gap caused by the temporary inability to work due to an accident, ensuring that you and your family have some financial stability during recovery.
7. Monthly Needs Benefit – It is designed to help you cope with the financial impact of accidents that result in death, permanent total disability (PTD), permanent partial disability (PPD), coma, or burns. Here’s how it works:
- Lump sum amount for 3 months – The benefit provides a lump sum payment for three months following the accident.
- Amount – The payment is 0.5% of the sum insured, up to a maximum of ₹50,000 per month.
8. Adventure Sports – The coverage seems to offer protection for enthusiasts engaged in various activities. Here’s a summary of the coverage:
- Coverage for all land, air, and water sports.
- Coverage for death and permanent total disability (PTD) for non-professionals.
- Coverage amount is 2% of the sum insured, with a maximum limit of ₹50,000.
9. Loan Protector – It is an insurance policy that provides an additional payout to the insurer’s family in the event of the policyholder’s death. This payout is designed to cover any outstanding loan payments, such as a mortgage or car loan, that the policyholder had at the time of their death.
10. Tax Benefits – The plan offers financial aid for accident-related expenses and tax benefits under Section 80D of the Income Tax Act. Under Section 80D, premiums for health insurance, including personal accident policies are tax-deductible for self, spouse, children, and parents up to ₹25,000 per year. For policies covering senior citizen parents, the limit is ₹50,000. Cash payments are not eligible for this deduction.
In conclusion, a personal accident plan is essential, much like any other health insurance policy. Life’s unpredictability means accidents can occur at any time, leaving us with both physical pain and financial strain. A personal accident plan helps safeguard you and your family from such unforeseen events. Consider Niva Bupas’ family floater plan, which covers you, your spouse, and children under a single policy, providing comprehensive protection against all types of accidents.
Rohit Gyanchandani is Managing Director at Nandi Nivesh Private Limited
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Published: 28 May 2024, 10:39 AM IST