No one likes to think about it. And we hope it never happens. But there’s always an outside chance that staff could end up involved in a serious accident – particularly in higher risk job roles.
Should a fatal accident occur, it’s important that financial and emotional support is in place for bereaved loved-ones. International Group Accidental Death Insurance exists to help families deal with the financial impact.
Let’s delve deeper into this often overlooked area of life coverage.
Looking for the perfect international benefits and insurance policies for your global employees? Give our award-winning expert team a call on 01273 974419 or email us at [email protected].
What is International Group Accidental Death Insurance?
International Group Accidental Death Insurance can be taken out as an addition to an International Company Life policy. It is designed to provide a lump sum to an employee’s beneficiaries should they die because of an accident.
This lump sum is either set at a specific amount, or is calculated as a percentage of that employee’s salary. It’s a suitable policy for companies with employees based abroad or with expatriate staff on assignment and travelling to different locations.
The insurance is designed to cover fatalities caused by incidents such as the following:
- Exposure to the elements
- Traffic accidents
- Accidents involving heavy equipment
Note: it’s always worth checking an individual policy’s list of included incidents as it may vary from provider to provider.
This type of insurance covers accidental death, not death from natural causes. So, it’s advised to add this onto a Group Life Insurance policy to ensure coverage is there for all circumstances.
How does this policy work?
International Accidental Death Insurance can be added onto a Group Life policy. For the beneficiaries to receive the payment, the death must take place within 365 days of the accident and the employee must be actively at work during the time of the event, and not working against any medical advice.
The lump sum payment (based on the agreed limits) is there to financially protect an employee’s family members in the event of their sudden death.
Note: the policy doesn’t apply to employees who have engaged in risky activities which has led to death. e.g., drug or alcohol-related accidents, skydiving, mountain climbing or other high risk activities.
How do you calculate the costs?
Insurance providers will make their calculations based on your company’s unique risk profile.
An annual policy is usually better for those organisations with a global workforce present throughout the entire year. On the other hand, monthly or per-trip rates can be a better option for companies with expatriate staff or staff away on occasional work trips abroad.
Who’s not eligible for this policy?
This depends on the individual risk and exposure of your global employees. In general, some industries and organisations not eligible for this policy can include marine and military personnel, sports teams, and companies operating in Canada, Switzerland, Australia, and the U.S.
What are the benefits to both business and staff?
If lots of your staff are working in an environment with either a heightened risk profile or locations with an increased level of danger, having this insurance in place will guarantee some level of support if the worst was to happen. It will help to cover an employee’s family with any unplanned additional costs, providing peace of mind to your staff that their loved ones will be provided for.
Some more benefits that come from investing in International Accidental Death insurance:
- Easy to administer (can be added on to a Group Life plan)
- Adds value to a benefits plan with minimal extra outlay
- Can cover all staff across multiple countries
- Protects staff’s loved ones from financial risk
- Cost-effective way to further show your commitment to protecting your global teams
Losing a loved so suddenly will be a huge shock for anyone, and the last thing a bereaved family will want to do is deal with the financial ramifications while processing their grief.
When an Accidental Death scheme is paired with a Group Life policy, you might have access to have additional benefits, such as Employee Assistance Programmes, which provide services to help families deal with the loss of a loved one.
Upgrade your international employee benefits scheme
By investing in International Accidental Death Insurance, you are ensuring that employees and their families are protected in the face of unforeseen circumstances while working or traveling abroad. In doing so, businesses will be providing an extra layer of financial security, while demonstrating a clear commitment to the people that work for them.
It’s crucial to carefully consider any insurance policy, especially when entering the global market. Terms and conditions can vary from provider to provider, while quotes can also differ markedly.
By consulting with an experienced international benefits broker (like our award-winning Engage team), you can ensure you’re getting the best cover available at the most competitive price point.
Our expert international team will talk through all your options at a pace that suits you, laying everything out in the clearest possible terms.
Engage Health Group has huge global reach spanning 61 countries and territories, ensuring you get the best advice available in the global healthcare and protection market.
Contact the Engage team at [email protected] or call 01273 974419 for FREE no-obligation advice and support.