LIC - Accident Rider?

Now a days most of the LIC Policies Provide Accident Rider. Do we need to buy accident rider from them or we need to buy from General Insurance Company?

Please advice cost as well as benifit wise.

Thanks
Abbas

Accident Riders - Like other life insurance riders, the maximum accident cover under riders is 30 per cent of the sum assured. Since most life covers end at around age 65, the coverage from accident riders end with the base policy. Another important point to remember is that once the claim is made, lump sum amount will be paid in case of death or staggered payments made in case of permanent total disability— say 10 per cent of the rider cover annually over 10 years. In case you survive the accident, for most companies, the coverage effectively ends from the time you make the claim.

So as mentioned above please also go for Personal Accident Policy of General Insurance Company.

Personal Accident (PAIP) vs accident riders - If you compare the two options, PAIP has an edge for those covering all the four contingencies—you will get a weekly payout in case of temporary total disability; a facility that riders don’t have. This facility gives you a better income replacement stream too. Also, PAIP’s coverage in terms of age limit is more and the coverage doesn’t end after a claim is made, as is the case with accident riders.

Now which one to choose if you do not need a long-term commitment required in a life policy can take a stand-alone personal accident cover.


Some things need to remember -
1- When you go for a PAIP, opt for a comprehensive coverage of the four contingencies of death, permanent total disability, permanent partial disability, temporary total disability even though you might have the option of covering one, two or three of them. The reason: such a cover provides weekly payouts at one per cent of the sum assured, subject to a ceiling of Rs 6,000, in case of temporary total disability. For this benefit, you have an upper ceiling of Rs 5 lakh or 25 times of monthly salary, whichever is lower.
2- There is also a cap for the overall cover under PAIP, which can be 60-72 times monthly salary, depending on the policy.

Hope now things are clearer to you! If still you have query, please mention here I am ready to help you out.