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Double Indemnity

Last updated: January 5, 2018

What Does Double Indemnity Mean?

Double indemnity is a clause in a life insurance policy that says the insurance company will pay twice the amount of the face value should the death of the insured result from an accident.

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Insuranceopedia Explains Double Indemnity

Double indemnity does not cover natural death or one that results due to natural causes, such as aging, or a health condition, suicide, and gross negligence. Thus, it covers murder of the insured committed by a person other than the beneficiary of the policy and accidents, e.g. car accidents.

People who are employed in dangerous jobs are often not qualified for policies with a double indemnity provision. However, insurance companies that offer this benefit charge higher premiums.

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InsuranceLife InsurancePoliciesPersonal LinesPersonal

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