What Does Accidental Death Clause Mean?
An accidental death clause is a stipulation in a life insurance policy that doubles or triples the death benefit to be given to a beneficiary in the event the policyholder dies due to unintentional or unforeseen causes. This provision is usually purchased in cases where the policyholder is working or living in areas with hazardous conditions.
An accidental death clause is also known as an accidental means provision or accidental result provision.
Insuranceopedia Explains Accidental Death Clause
The accidental death clause stipulates the pertinent details related to the benefits to be received following the accidental death of the policyholder. This includes the necessary conditions to qualify as an accidental death and a valid claim, such as the specific cause of death and the time frame in which death occurs as a direct result of the accident; such restrictions as the age of the policyholder; and the amount of compensation that a beneficiary will receive.