What a Personal Accident Insurance Covers and Why Everyone Should Have One (Especially When It Is Only S$98 a Year!)

Let's face it - adulting is tough and there are many things that we wish we had learned sooner. Insurance is one of those things that you never realise how much you require until you actually need it (but it might be too late then). There are different types of insurance plans in the market, but one that every adult should consider is a Personal Accident (PA) insurance plan. It is important to note that policy wordings for every insurance plan will most likely differ but I am writing this article to briefly introduce the benefits of having a PA insurance plan as well as the FWD Personal Accident and Infectious Disease Coverage which is a fantastic deal (especially when you do not wish to invest too much into insurance plans right now).

Click HERE to protect yourself against accidents and infectious diseases for just S$98 a year!

What Is a Personal Accident Insurance Plan?

Unlike a life plan or a hospitalisation plan, a PA insurance plan typically covers you when you suffer damage or injury from a sudden, unexpected, and unintentional event. Therefore, PA insurance plans are not a substitute to other forms of insurance plans but rather, it should complement a hospitalisation or integrated shield plan, to provide you with greater coverage in times of need. There are generally two components to PA insurance plans - reimbursement and payout. The reimbursement portion of the plan can help you cover medical expenses (or the excess of other policy's sub-limits) that are otherwise not covered by other health plans (e.g. ambulance fees). The payout portion of your PA insurance plan covers you for things like hospitalisation income, death, and total permanent disability. 

What Does It Cover?

Most PA insurance plans offer worldwide coverage - it does not matter where you physically suffer damage from an accident. The FWD Personal Accident and Infectious Disease Coverage provides the following coverage:

• Medical Expenses - get up to S$2,000 coverage per accident

• Daily Hospital Income - get up to S$50 a day of personal accidents (and double the stated amounts if you are warded in an ICU

• Death Benefit - up to S$100,000 death benefit payout for deaths resulting from personal accidents 

• No Occupational Premiums - same annual premium regardless of your occupation

Photo Credit: FWD

PA insurance plans are designed to cover you when unexpected accidents happen and here are some examples for illustration: 

• Slips and falls (e.g. at home or while playing sports)

• Road traffic accidents (e.g. as a driver, rider or even a pedestrian) 

Apart from covering accidents, the FWD Personal Accident and Infectious Disease Coverage also provides coverage for infectious diseases which include diseases like dengue fever, HFMD, measles, mumps, as well as the Novel Coronavirus virus (2019-nCov). Check out the FWD Personal Accident and Infectious Disease Coverage for comprehensive coverage information regarding the policy.

Who is Eligible for Personal Accident Insurance?

Any Singapore Resident (including Singapore citizen, permanent resident or valid pass holder) under the age of 65 with no travel outside of Singapore for at least 14 days leading up to the purchase of the policy will be eligible to purchase the FWD Personal Accident and Infectious Disease Coverage. Additionally, you must never be refused to buy or renew any Personal Accident Insurance. Nor has your insurance been cancelled or voided by your insurer.

Will Your Coverage be Immediate?

Infectious Diseases (including COVID-19) have a 15-day waiting period while Food Poisoning has a 90-day waiting period from the start date of your policy coverage. Please note that you have to had been in Singapore for at least 14 days when you purchase the policy. Customers who purchase SingSaver and FWD’s Exclusive Personal Accident and Infectious Disease Coverage from 4th March 2020 onwards can make claims related to the COVID-19 outbreak.

Personal Accident Insurance Is Important

The cost of an accident is not always the price of an ice-cream cone

Coverage from S$0.27 a Day

How Much Is the FWD Personal Accident and Infectious Disease Coverage?

At just S$98 a year (to offer you protection for under S$0.30 a day), the FWD Personal Accident and Infectious Disease Coverage is definitely one of the most affordable policies in the market. In fact, it is even cheaper if you opt for the Couples Cover (S$186.20 for 2 adults) or the Family Cover (S$252 for 2 adults and 2 children). 

My Thoughts on the FWD Personal Accident and Infectious Disease Coverage

To put it bluntly, the FWD Personal Accident and Infectious Disease Coverage may not have the highest payouts (there are other PA insurance policies in the market that pay more but have a significantly higher annual premium) but honestly, it offers plenty of coverage at an extremely reasonable price point. Unlike certain hospitalisation insurance plans, you are actually able to take advantage of multiple PA plans in the event of an accident. As mentioned earlier, the FWD Personal Accident and Infectious Disease Coverage policy covers up to S$2,000 worth of medical expenses in Singapore (inpatient and outpatient) but if you have a different PA policy, you will be able to claim anything in excess of that amount towards your other policies.