Titbits on Personal Accident  insurance policy


What is a personal accident policy?

Personal accident policies provide financial protection to policyholders against any tragic event or accident that causes injury/death. It provides cover for injuries, disability or death caused solely by violence or physical force, accident, external or visible means. The policy operates 24 hours a day, 7 days a week and is a worldwide cover.

This means that any individual who purchases a personal accident policy from Ghana is covered against any accident that occurs outside the country. For example, a traveller can claim under his personal accident policy for injury sustained in the USA when on vacation.

What is the eligibility criteria for a personal accident insurance policy?

Any individual who is between the ages of 18 to 65 years is eligible to purchase personal accident insurance policy. The maximum age limits for most insurers in Ghana range from 65 to 70 years. Individuals who are older than 70 years can still get personal accident insurance cover from insurers at a higher premium and other strict policy conditions.

Types of personal accident policy

  1. Group Personal Accident Policy: Group personal accident is a personal accident policy undertaken by business owners or employers to cover their employees against any bodily injury/death sustained in the course of their employment. This policy can be undertaken by all types of businesses no matter the size. Examples of businesses that can take the group personal accident policy are: mining firms, manufacturing companies, driver unions, construction companies, educational institutions, hospitals and any other organisation that employs people.
  2. Individual Personal Accident Policy: As the name suggests, a personal accident policy is undertaken by individuals against any accidental injury/death in the course of their daily activities. There is no discrimination with regard to the kind of individual who can take this policy once he/she meets the age limit.

What does personal accident policy covers?

  1. Death: Death is covered only through accidents. The limit of cover is paid to the next of kin or family members of the deceased.
  2. Permanent disability: Disablement which permanently prevents the Injured Person from engaging in his usual occupation and is without expectation of recovery – e.g. total blindness, loss of arms or both legs, paralysis, total deafness and total loss of speech.
  3. Temporary disability: Disablement which prevents the injured party from engaging in his normal occupation in the interim – e.g. a broken leg or arm. A weekly benefit for a specified maximum period is payable to the injured person.
  4. Medical Expense: Provides cover for medical expenses incurred by the injured person or workman up to the required limit.

What are the key exclusions from a personal accident policy?

  1. War and any warlike situation.
  2. Active service in the Armed Forces.
  3. Suicide or intentional self-inflicted injury.
  4. Medical or surgical treatment, except where such treatment is rendered necessary by bodily injury.
  5. Sickness or disease not directly resulting from Bodily Injury.
  6. Engaging in professional sport.
  7. Being under the influence of intoxicants or drugs.
  8. Insured’s willful exposure to peril.

What details do insurance company require in order to enable them issue a PA policy?

Most insurance companies will require the insured or policyholder to complete a proposal form.

Basic requirement on every proposal form are:

  1. Name and occupation of the individual/policyholder

Clerical- lawyers, teachers, doctors.

Non-Clerical- mining, security work, taxi drivers.

  1. Age of the individual
  2. Previous accident history
  3. Previous claim history
  4. Financial benefit or limit required

How do I buy a PA insurance policy?

The most common channels available to purchase a PA insurance policy are:

  1. Buying the policy directly from an insurance company: Individuals and organisations can purchase their PA insurance policy by contacting insurance companies directly. This can be done through phone calls, emails or visits to the insurance company’s physical office
  2. Buying the policy through an insurance broker or agent: Individuals and companies can also purchase PA insurance policies through insurance brokers. Insurance brokers are independent intermediaries who can assist you to purchase your insurance package from any insurance company of your choice. Most corporate organisations use the services of insurance brokers because of the extra professional services they provide. Accredited agents of a particular insurance company can also be used.

How much does a personal accident insurance policy cost?

The cost of personal accident insurance depends on the category of work of the policyholder, the limits imposed and their age. Premium for non-clerical workers such as drivers and mining staff are expected to be higher than that of clerical staff (bankers and lawyers).

What are the requirements to make an injury claim under a personal accident policy?

  1. Medical Report
  2. Completed Claim Form
  3. Letter of Claim from Employer (for organisation)
  4. Pictures of Injury sustained
  5. Police Report (in case of road accident)
  6. Original copies of medical bills
  7. Recent pay-slip of Employee (for a company)
  8. Copy of Employee’s Letter of Appointment

What are the requirements to make a death-claim under a personal accident policy?

  1. Completed claim form
  2. Letter from employer or family
  3. Police report in the case of a road accident
  4. Cause of death/burial certificate/death certificate
  5. Probate/letter of administration


Having a personal accident policy provides financial protection to cover the risk of injury/death caused by accident. Having a group personal accident policy for your staff will also serve as motivation for them to work hard, as they are fully aware of some benefits in the event of workplace injury or death. A PA policy can be purchased directly from an insurance company or through an intermediary.

>>>The writer is a chartered insurance Practitioner (CII, UK) and holds a professional qualification in Risk Management (ARM) from the American Insurance Institute. He has over nine (9) years’ experience in insurance, reinsurance and risk management. He is a Manager at Star Assurance Company Limited. He can be reached via +233249236939 and or [email protected] / [email protected]

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