Personal Accident Insurance Explained: Get Peace of Mind as a Sole Trader

Workplace injuries can happen to anyone at any time, which is why it is important to insure your business for any unexpected incidents. That is why Morgan Insurance Brokers offer Personal Accident Insurance for our clients. 

What is Personal Accident Insurance?

The insurance policy is designed to help relieve financial stress if you or your employees suffer a work-related accident that results in serious injury, disability, or death. Depending on the policy, this can also extend to illness cover as well, aimed at financially assisting in short or long-term recovery. 

Many Australians have felt the impact cost of living has had on their lives, but as business owners, sole traders, or contractors, this leaves you significantly more vulnerable to financial stress if you are unable to work. 

What are the Risks for Sole Traders?

We’re all human, we all get sick or injured every once in a while. But for sole traders and small businesses, which can have a massive impact on their income. Whether for yourselves or for your employees, there is always a risk of;

  • Illness

Illness can seriously halt business. Whether it’s something as simple as a common cold or something much more serious like a stroke or sudden onset diabetes, being insured for any unexpected illnesses can save a significant amount of money and reduce stress for sole traders. 

  • Injury

Just like an illness, an injury can really affect the flow of business regardless of whether it is the business owner or an employee. Injuries could come from a number of unexpected accidents, like a busted ankle doing a fun run for a company-sponsored sports event, or even a broken wrist from an employee slipping on a wet floor. 

  • Disability or Death

In the few instances where a workplace injury or illness results in permanent disability or death, some insurance policies offer lump sum payments or capital benefits as a form of compensation. 

How does Personal Accident Insurance Benefit Sole Traders?

This kind of insurance policy acts as a safety net of sorts. It protects sole traders from any unexpected incidents or circumstances. Below outlines the key benefits of insuring yourself against injury or illness.

Income Protection

If you are unable to work due to injury or illness, insurance can provide regular income replacement in some cases. Insuring yourself with this insurance policy helps mitigate the financial blow that comes with these events and lessens the stress and worry that can come with potentially losing your main source of income without having to dip into savings. The policy is generally limited to a maximum 2 years worth of payments.

Medical Expenses

If your injury happens to need ongoing maintenance, or your injury requires surgery, having this insurance cover can be a real life saver. The policy can cover a wide range of medical costs, including hospital fees, surgery costs, medication, and rehabilitation or therapy. The continued support is designed to assist you getting back to work without breaking the bank and jeopardising your own financial situation.

Death and Disability Cover

There is nothing more devastating than getting into an accident or sustaining an injury that could potentially take your life or cause long-term disability. This is a large concern for many sole traders who work in construction, risking their lives daily for their work. While nothing can fully compensate a life, this insurance policy helps towards capital benefits aimed at assisting families or beneficiaries. 

Similarly, lump sum payments can be made in the event of a life-changing permanent disability to help cover long-term financial needs. Disability capital benefits are designed to assist in medical treatments, hospital bills, and home modification. 

Is Personal Accident Insurance Right for You?

It is incredibly important to choose the right insurance policy for your business, especially when it comes to accident and illness coverage. There are a lot of things to consider, which is why it is recommended to speak to a broker who can help tailor your policy to your business needs. 

One of the best things about Personal Accident cover is that there are no medical examinations required for eligibility. This makes accessing coverage quick and straightforward, opening the door for many people who are worried about pre-existing conditions or who do not want to undergo a medical exam. Because pre-existing conditions are not covered in this kind of policy, the medical exam is not necessary to gain protection. It is ideal for those who want financial protection from accidents sooner rather than later. 

Personal accident premiums generally tend to be lower compared to other income support policies, like income protection insurance. Personal accident insurance typically only covers injuries and accidents classified as unforeseen events that might not ever happen, whereas income protection insurance protects from a wider spectrum of scenarios. 

What is usually covered in Personal Accident Insurance?

  • Medical expenses
  • Death benefits
  • Weekly payment benefits
  • Hospital expenses
  • Rehabilitation benefits
  • Lump sum disability payments

What is typically not covered in Personal Accident Insurance?

  • Pre-existing conditions
  • Drug or alcohol influence
  • Dangerous sport and activities
  • Exposure to exceptional danger
  • Amateur football
  • Intentional self-injury
  • Criminal acts
  • War and civil commotion
  • AIDS
  • Childbirth
  • Professional sport

How Morgan Insurance Brokers Can Help You with Your Insurance Needs

Insurance is often complicated, but it doesn’t need to be. We here at Morgan Insurance Brokers understand that not all insurance policies are made equal, and it can be difficult trying to decode what a policy does and doesn’t do. 

As an insurance broker, we work for you to tailor-make insurance policies that benefit your business. Personal Accident Insurance comes with a variety of clauses and exclusions that can greatly impact your coverage, which is why we ensure you receive insurance that is specific to your needs. 

When you use Morgan Insurance as your insurance broker, you do so knowing your insurance needs are being handled by professionals. Regardless whether you are a new or established business, our team of Personal Accident Insurance brokers offer comprehensive insurance to all clients. Contact us today for a free consultation and we will work to custom-made the perfect insurance policy for you. 

by Mojo Dojo