Is accident insurance worth it?

In recent years, the Centers for Disease Control and Prevention reported unintentional injuries accounting for about 25.5 million emergency room visits.¹ The fact is, accidents happen, and they can be impactful both physically and financially — because there may be all sorts of unexpected expenses afterwards. But accident insurance can help protect your financial well-being by providing a fixed benefit payment for covered accidents. And when it’s offered by your employer as a voluntary benefit, you can consider this valuable source of protection at a cost-effective group rates not typically available when purchasing individually. That’s why many companies choose to offer it as part of a comprehensive benefits package that help contribute to employees’ financial wellness.

What is accident insurance?

When accidents happen, you may face all sorts of unexpected expenses. Accident insurance is a type of supplemental health insurance that helps protect your finances when an accident happens to you, or a covered family member. It provides a fixed benefit payment directly to you, and you can use it to help cover things like prescriptions and follow-up visits, so you can focus on recovery, not your finances. But note that like other types of supplemental health insurance plans, an accident insurance policy is not a substitute for health insurance coverage.

What accident insurance typically covers

It pays a fixed benefit when you suffer a covered accidental injury like a severe burn, broken bones, or have to visit an emergency room. Depending on the specific accident insurance plan offered by your employer, there may also be benefits for things that are associated with accidents, like X-rays and ambulance rides. The amount paid is based on your plan design and the services received. And importantly, the fixed benefit payment goes directly to the you, not the hospital or medical provider. If you choose, you can use it to help pay out-of-pocket medical expenses.

How accident insurance benefits work

Accident insurance coverage is almost always offered as a voluntary, or optional, employee-paid benefit. It tends to be very affordable – less than the cost of a slice of pizza per day depending on your age and overall health² – and once you sign up, premiums may be conveniently deducted from your pay. If you ever have to submit a claim, the claims process tends to be easy. If you or a family member have a covered accident, you contact the insurance company directly, provide simple evidence of what occurred (for example, by uploading a copy of the doctor’s bill), and soon after the benefit payment will be sent to you.

Why so many employers offer Guardian accident insurance

Employees may face financial hardship without their benefits, so employers typically include options, like accident insurance, that help support their workers’ financial well-being.

Employers choose Guardian accident insurance benefits because they cover employees in dozens of ways, are affordable, require no medical exam, and can cover eligible family members as well. They also like the additional optional features Guardian lets them provide for their employees, such as wellness benefits, extra benefits for children's organized sports³ (like soccer, basketball, or cheerleading), There may also be other benefits for travel assistance and more.⁴

Supplemental benefits may provide extra financial protection when you need it most

Accident insurance policies pay benefits for covered injuries and accidents, but other health and medical issues that may also impact household finances. That’s why your employer may offer other types of supplemental insurance, including hospital indemnity insurance, cancer insurance, and critical illness insurance. Access to different types of supplemental health insurance benefits helps provide extra financial protection – so you don’t have to choose between taking care of your health or taking care of everyday expenses.

Accident insurance cost considerations

Premium costs vary depending on the specifics of the plan your company offers. Plans with higher benefit levels will cost somewhat more than more basic plans. And because you’re purchasing benefits through your employer, your rates may be lower than they would be if you purchased a plan as an individual.

Is it worth getting?

Accident insurance can provide a number of important benefits. It’s a way to gain financial protection from many of the costs associated with unforeseen accidents. It can be easy to get and easy to pay for. And if you ever need to make a claim, the payments can help you to focus on recovery, instead of your financial well-being.

Just as important, the fact that your employer offers accident insurance along with other benefits such as life insurance, dental and vision insurance, helps demonstrate a commitment to employee well-being and a positive work environment. That’s why it’s a good idea to seriously consider all the benefits offered to you, and decide which can add the most value to your overall well-being.

Take the next step

Ask your supervisor or HR department whether accident insurance is available and how to sign up. And while you’re at it, consider asking about other valuable voluntary benefits that may be available. This guide can help you determine what benefits are right for you, depending on your priorities.