Is Personal Accident Insurance Worth It? Here Is the Answer
Not sure personal accident insurance is worth having? Learn what it covers for workers and their families when a job-related accident cuts off income.
Personal accident insurance deserves consideration from any worker, especially those in industry and manufacturing. BPJS (Indonesia's national social security and health insurance scheme) or other health coverage will not be enough to cover the risk of an accident that leaves you unable to work again. You would lose your source of income, and the loss is greater still if you are the family breadwinner. Life insurance pays a death benefit and health insurance pays medical costs, while accident insurance for the workplace covers the material losses caused by an accident at work.
Under labor regulations, companies are required to provide personal accident insurance coverage for their workers. The aim is to protect employees' safety at work. With this insurance, not only do individual employees feel protected, but the company is also freed from worrying about bearing the coverage or legal risks if a work accident happens to an employee.
In broad terms, the benefits of personal accident insurance are:
Gives the Insured and Their Family a Sense of Security
You can work comfortably and feel protected because, if an accident happens, accident insurance will cover your losses: the financial loss from being unable to work, medical treatment costs and costs for your family. The sense of security that comes from this protection lets you work freely and well, so your productivity is maintained.
Eases Medical Costs
Health coverage such as BPJS pays for medical treatment only. Accident insurance also covers treatment after a work accident and keeps your income intact while you cannot work because of the accident.
Protection for the Family in the Event of Death
If a work accident results in the death of the insured, the family is affected. This is especially true if you are the family breadwinner: if something happens to you and you can no longer work, or the worst outcome occurs and you die, you can no longer provide for your family.
With personal accident insurance, your family receives comprehensive protection for every kind of accident, minor or fatal. If the insured person dies, the insurer pays the family a guaranteed benefit, a monthly allowance that replaces the deceased's salary or income for a set period, as agreed in the insurance policy.
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