what is group accident insurance

Group accident insurance is a type of supplemental insurance policy designed to provide a financial benefit to help cover the costs of being injured in an accident. It is offered by employers to their employees as a way to supplement their group health insurance to fill gaps that can lead to large out-of-pocket costs. Group accident insurance pays a lump-sum cash benefit directly to the insured person after having a covered injury, regardless of other coverages or actual expenses. The benefit can be used any way the employee chooses, such as medical deductibles and copayments, transportation, food and lodging, child care, lost income from missing work, home healthcare needs, and more. The injuries covered by accident insurance include burns, comas, concussions, dental or eye injuries, dislocations, fractures, internal injuries, knee cartilage, and more. Employers can work through a number of carriers that offer group accident insurance, and they can customize their accident insurance program to include a variety of benefits. Optional riders or added benefits provided by some group accident insurance plans include accidental death and dismemberment coverage, which covers the unintentional death or dismemberment of the insured.