Why Offer Accidental Death or Dismemberment?

Need Business Insurance?
For more than 200 years businesses have trusted The Hartford. We can help you get the right coverage with an online quote.
The protections under an accidental death and dismemberment plan will vary somewhat from policy to policy. Its defined coverage is against accidents that result in either death or very specific types of injuries. These accidents can happen just about anywhere, including the workplace, the home, the playing field, or during vacation travel. However, unless the policyholder is attempting a summit of K-2, the pursuit and the place are not likely to be a factor in determining coverage eligibility.
A covered injury typically includes the loss of limbs and/or fingers; loss of sight, hearing, and/or speech; and permanent paralysis.

Offer as a Supplement to Other Policies

AD&D should be considered as supplementing – not replacing – other kinds of insurance that serve to safeguard a beneficiary’s financial security in the event of a covered death or injury.
A traditional life insurance policy, for example, is far more comprehensive in terms of what would qualify for a death benefit to be paid out – including death from natural causes and illnesses as well as accidents. And in a similar vein, workers’ compensation insurance and disability insurance aren’t limited to covering the loss of a body part or the explicit loss of a physical ability like vision; their coverage parameters are generally much broader.
These are some of the events that commonly are not covered under an AD&D policy:
  • Death or injury by suicide or a suicide attempt
  • Death or injury while under the influence of non-prescribed drugs or alcohol
  • Death due to a physical illness
  • An injury that’s intentionally inflicted

Game Plan

  • Most insurance professionals would argue that, since accident-caused deaths and severe injuries are relatively uncommon, policies like life, health, disability, and worker’s compensation provide much broader, more inclusive coverages. Make sure you’ve talked through these priorities with your HR or insurance specialist.
  • If you decide to offer AD&D as a supplemental policy to your employees, be sure to shop around – and read the fine print on policies. Coverages, and prices, will vary from policy to policy.
  • Many AD&D policies offer additional services to policy holders and their beneficiaries. These may include beneficiary counseling and educational services to help those impacted recover from the accident and/or loss. For example, the policy might pay for education, psychological counseling, legal, and financial advice for a surviving spouse. Other benefits might be geared towards helping someone adjust to a covered injury – like home and vehicle-alteration benefits and rehabilitation services. Be sure to compare policy pricings and benefits as you’re considering which policy to offer your employees.
  • Another policy term to look for is the time frame under which an accident that is ultimately fatal can qualify as a covered death under the AD&D.
  • Need Business Insurance?

    Need Business Insurance?

    For more than 200 years businesses have trusted The Hartford. We can help you get the right coverage with an online quote.
    Iniciar cotización
    The content displayed is for information only and does not constitute an endorsement by, or represent the view of, The Hartford.