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How Group Life and AD & D Can Benefit You and Your Family

For medical professionals and dentists, an attractive remuneration package includes Group Life and Accidental Death & Dismemberment (AD & D) coverage. It is a crucial benefit that provides financial support because of an injury caused by an accident. If your employers are not offering you these benefits, you can contact a disability insurance brokerto know how to get the best coverage for you and your family.

Insurance Based on Salary

Most group term life insurance comes with a lump sum death benefit for all eligible employees. It is generally offered on a non-contributory basis. It means the policyholder will be responsible for the payment of the premium and all other policy costs. The disability insurance benefit is traditionally based on the salary drawn by the physician or the dentist in the medical institution. It is in specific multiples of the salary depending on the ability of the policyholder to pay a premium.

Insurance Based on Occupation and Hierarchical Standing

Your occupation is also a deciding factor in deciding the group life benefit. The senior and highly qualified physicians and dentists with a high monthly remuneration will be insured for a higher basic life. Other eligible employees may be insured for a lower basic life amount.

Disability insurance services can also be extended to eligible spouses and children under certain Group Life and Accidental Death & Dismemberment (AD&D) plans. However, to avail of this benefit, you may have to pay a higher premium as multiple people benefit from the coverage. 

Accidental Death and Dismemberment (AD & D) benefits are a must-have for you to make sure your loved ones do not face any financially distressing times after you. The policy can also help the insurer directly as the support can be paid when a terminal illness is certified. You can get a portion of the basic insured amount in a lump sum payment in an accelerated benefit plan. The balance portion is paid to the beneficiary of the insured upon the death of the insurance beneficiary.

How the Policy Makes Payouts

A comprehensive AD & D policy may pay around 50 percent of the coverage amount if you lose a limb, eye, or hand in an accident. If you lose more than one thing, you can claim 100 percent of the coverage. For permanent disability because of an accident such as paralysis, your policy might be 50 to 100 percent of the benefit amount. 

As we have seen, the coverage you get will depend on the limits set by the insurance company. It may also be set by the employers that offer AD & D as a part of workplace benefits for doctors and other medical professionals working in the institution. 

Most AD & D insurance tends to have a lower rate than traditional life insurance policies. That’s because the coverage is limited only to accidents and no other illnesses. For group life and AD & D coverage offered by employers, you might get even more benefits in the form of a lump sum paid by the company while signing up with the insurance provider.


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