In the gig economy, more and more Americans are finding the joy in self-employment and capitalizing on the benefits. Unfortunately, the disadvantage of being an independent contract challenges your applicability into private insurance. The good news is the gig economy has created a demand in alternative insurance. In addition to market place insurance, you have a few options for supplemental coverage such as accidental insurance.
WHAT IS ACCIDENTAL INSURANCE?
This coverage may offer a lump sum payment for someone who passed from an accidental death covered by their policy, such as automobile accident or drowning. While it may cover most physical injuries, illnesses are typically not insured by this policy type. It’s important to know the details of coverage will be specific to each policy.
WHAT’S THE DIFFERENCE BETWEEN MEDICAL HEALTH INSURANCE AND ACCIDENT INSURANCE?
In addition to the 10 essential health benefits, major medical health insurance share characteristics such as:
- Deductibles
- Premiums
- Out-of-pocket expenses
- Coinsurance
- Co-payments
To add to the list, traditional health insurance will typically require you to reach your deductible before the company contributes toward your medical bills. However, every doctor visit, prescription fill, or emergency room visit uses your health insurance benefits.
Though you’ll pay a monthly premium with accident insurance, policyholders typically only see one cash payout in the event a covered accident occurs. It could serve as financial help if you severely injure yourself, which ideally would not happen frequently.
WHY PURCHASE ACCIDENT INSURANCE?
Supplemental products like accident insurance are a great option for those who want additional coverage in the event of medical emergencies. You can purchase accidental insurance without health coverage, but it is not intended to be a substitution.
When it comes to insurance, there is no “one size fits all” product. Your coverage should take into consideration your lifestyle, budget, and needs. Just like any insurance, supplemental insurance can get complex, so you may want to reach out to a licensed insurance Agent.
Categories: Accident Insurance, Insurance, Supplement Health Insurance