Accidental death & dismemberment insurance

[QuarterMillionMan]

Who has it, how much coverage and premiums? Through work I have $250,000 coverage for $3 a month. I wish they offered higher coverages such as $1 million for $20 a month and I would pay for it. $250,000 is peanuts.

[Jluke]

Says “PeanutsMan”

[corn18]

Looks like I get $865k for $15 a month. This is AD&D which I don’t count in my calculations for how much I need or will get. If I die of a heart attack, AD&D doesn’t pay anything.

I also get $444k of regular life one for free through work. I count this.

I also opted for an additional $1.15M group life through work. It’s $160 a month.

so, if I die in a car crash, my wife gets $2.5M.

I have more life ins outside of work. That is all she needs but the work ins is cheap so I keep it.

[disneysteve]

I have life insurance, both my own private policy and 2X income at work. It doesn't matter how I happen to die.
I also have long term disability insurance privately.

I think I have AD&D through a couple of different places - AAA, my bank, maybe somewhere else - but I honestly don't even know. Those policies are all benefits included with being a customer but I couldn't even tell you what, if anything, I actually have. I have no idea how to go about even finding out.

[Like2Plan]

I have a couple gratis Ad&D (1,000) coverage policies though the Credit Unions I belong to. DH also has a couple of these type of policies in addition to 1x his salary AD&D through his work. But, I believe that most folks don’t die from AD&D causes so they probably don’t pay much out in the way of claims. I would not pay for this type of coverage.

[disneysteve]

I would not pay for this type of coverage.

Exactly. No matter how I die, my life insurance pays out. Clean and simple. No matter how I am disabled, my disability insurance pays out. Clean and simple.

[QuarterMillionMan]

The death part I am not too concerned about. It is the dismemberment part where I would like to get more coverage. If I lose the use of an arm or leg it would help to get some compensation other than long term disability.

[QuarterMillionMan]

Many here have adequate life insurance and don’t need more. I’m single and no kids so life insurance is irrelevant for me. What if you get run over crossing the street where both legs get amputated and can no longer work. This is where AD & D would be beneficial.

And AD & D is cheap comparatively to life insurance.

[Captain Save]

In the life insurance world.. .AD&D is typically sold to those who don't qualify for life insurance because of health... and it's also sold as an additional rider t on a life insurance policy

[kork13]

I think my military SGLI has some form of an AD&D rider attached to it, which all considered, is probably a good thing. You'd be shocked by how many of my folks have taken burns, lost digits, eyes, or arms/legs due to accidents with chemicals, jet engines, ejection seats, and so on...and that's to say nothing of the folks on the ground who have to deal with bombs, gunfire, and other related madness....

But I guess I don't understand the difference between "accidental death" insurance vs. plain old life insurance. And is this stuff the same as disability insurance? Presumably AD doesn't cover certain methods of one's demise like murder, suicide, disease, or otherwise, whereas regular life insurance does? Otherwise I don't see the point of it. Dismemberment I can understand, because if I'm a steel worker & accidentally saw my own hand off, I'm probably out of a job and need some disability coverage. But it sorta seems like AD&D is some kind of mashup between life insurance and short-/long-term disability insurance...and if there's one rule about the insurance industry, the more "packaging" they do with an insurance product (e.g., whole life, "diminishing premium double backflip universal life & long term care insurance", etc.), the worse of a deal it is for the consumer. The simpler, the better with those crooks...

[disneysteve]

And is this stuff the same as disability insurance?

Disability insurance is income replacement. It pays a monthly benefit for whatever term the policy covers. I believe these AD&D policies pay out a flat one-time payment that is dependent on what body parts you lose the use of. You might get 25% of the policy amount or 50% or more depending on the extent of your injuries.

[~bs]

pretty sure i do through my workplace. chances of occurrence is very small, so premium is small too.

[QuarterMillionMan]

I inquired with Aflac today. You've probably seen the TV commercial with coach Nick Saban of Alabama in the living room of a Black couple when they say it sounds like a winner and where Nick says, "We try," and flashes his championship rings on every finger on his hand. Aflac's accidental death & dismemberment insurance covers a lot more than just AD & D. For instance it lists coverage for different accidents such a dislocated shoulder which covers from $60-$2000, hospital stays, emergency dental procedures, etc. The AD & D part only covers $40,000. My monthly premium for a 53 year old male is $48/month. I also inquired with AIG which has a $500,000 AD & D for $68/month. I might get both for a total of $120/month. As I stated prior the death insurance is irrelevant to me, I need insurance which covers me while I'm alive.

[disneysteve]

it lists coverage for different accidents such a dislocated shoulder which covers from $60-$2000, hospital stays, emergency dental procedures, etc.

A dislocated shoulder should be covered by your medical insurance. The same for a hospital stay. An emergency dental procedure would be covered by my dental insurance. If you're talking about getting some money for missing some time at work, that's what short-term and long-term disability is for. $48/month sounds awfully high for what you're getting unless I'm missing something. And you said you already have 250K of coverage for $3/month.

[QuarterMillionMan]

Aflac's covered accidents are very small indeed but not many insurance companies offer accident insurance coverage. Most of the big insurances companies such as Metlife, Hartford, Fidelity Life, etc., only offer employer AD & D (none available for individuals) with 100+ people. Or they only offer life insurance. I need insurance coverage while I'm alive, not dead. Through work I have short term and long term disability. Both short term and long term only pays 60% of current salary. That is why I'm looking to supplement with AD & D, or Aflac's expanded accident coverage although watered down payments. And yes through work I have $250,000 AD & D but let's say the loss of 1 limb is $125,00, that is peanuts. And the accident has to be the result of a covered accident. If I get a stroke and lose the function of 1 limb that won't be covered. I'm looking to get as much coverage as possible.