In India, the escalating toll of fatalities and injuries from road accidents has emerged as a pressing concern for road safety. According to the Ministry of Road Transport and Highways, India accounts for 11% of the global deaths in road accidents, with just 1% of the world’s vehicles. A total of 4,61,312 road accidents took place in India in the year 2022, claiming 1,68,491 lives and causing injuries to 4,43,366 people. This marks an increase of 11.9% in accidents, 9.4% in fatalities, and 15.3% in injuries compared to the previous year.
The government has taken various initiatives to improve road safety, such as implementing the Motor Vehicle (Amendment) Act 2019, identifying, and rectifying black spots on national highways, and collecting and analysing data on road accidents. However, these measures alone are not sufficient to prevent road accidents and save lives. The responsibility also lies with the vehicle owners, drivers, and passengers to follow the traffic rules, wear seat belts and helmets, avoid drunk driving and over speeding, and maintaining their vehicles properly.
Global statistics emphasise the severity of the issue, underlining the need for personal responsibility. To fortify defence against road mishaps, it’s crucial to choose vehicles equipped with safety features like airbags, seat belt alarms, helmets, and biking gears in addition to the safe driving behaviour.
However, even with the best precautions, unfortunate accident can happen. This is where personal accident cover becomes a paramount. Personal accident cover, a type of insurance that offers financial aid to the owner-driver in cases of bodily injuries, death, or permanent disability resulting from a road accident.
An important aspect of personal accident cover is that it also provides various assistance services, such as towing, ambulance, roadside assistance, and legal advice, in case of an emergency. These services can help the owner-driver to deal with the situation more effectively and reduce the stress and hassle involved.
A personal accident cover is different from a comprehensive motor insurance, which covers the damage to the vehicle and the third-party liability arising from the accident. A personal accident cover is specifically meant for the owner-driver of the vehicle and does not cover the passengers, or the pedestrians involved in the accident. Therefore, it is advisable to have both a personal accident cover and a comprehensive motor insurance to ensure complete protection in case of a road mishap.
The advantages of having a personal accident cover along with motor insurance are as follows:
Medical Expense Coverage: It provides financial assistance for medical expenses, covering hospitalization charges, treatment costs, and medical bills incurred during the owner-driver’s treatment.
Compensation for Permanent Disability: In cases of permanent total disability, such as loss of limbs, eyesight, or hearing due to an accident, the policy ensures monetary compensation. The compensation amount is usually equal to the sum insured of the policy, which can be up to Rs. 15 lakhs.
Support for Nominee or Legal Heir: In the unfortunate event of the owner-driver’s death resulting from an accident, the nominee or legal heir receives compensation. This helps the family cope with the financial repercussions, offering support for the loss of income and livelihood. The compensation amount is usually equal to the sum insured of the policy, which can be up to Rs. 15 lakhs. However, the policy may have certain exclusions, such as suicide, intentional self-injury, or driving under the influence of alcohol or drugs, which can affect the claim settlement.
Peace of Mind: Beyond financial aid, personal accident cover provides a sense of security and peace of mind to the owner-driver. Knowing that unforeseen consequences of road accidents are covered fosters a proactive approach to road safety.
In conclusion, personal accident cover is not just a financial tool but a crucial lifeline on India’s perilous roads. Taking responsibility for one’s safety and ensuring comprehensive insurance coverage can make a difference between life and death. Therefore, it is wise to invest in a personal accident cover and drive with confidence and care.
This article is authored by Rakesh Jain, CEO, Reliance General Insurance. All views expressed are personal.
