Legal Definitions - accidental-death benefit

An accidental-death benefit is a provision in an insurance policy that provides an additional payment if the insured person dies due to an accident, as defined in the policy. This benefit is usually double the face amount of the policy and is not paid if the death is due to natural causes.

For example, if a person has a life insurance policy with an accidental-death benefit of $100,000 and dies in a car accident, their beneficiary would receive $200,000. However, if the person dies of a heart attack, the accidental-death benefit would not apply.

Another example would be if a person has a disability insurance policy with an accidental-death benefit and becomes permanently disabled due to an accident, the policy may pay out a lump sum in addition to the regular disability payments.

These examples illustrate how an accidental-death benefit can provide additional financial protection for the insured and their beneficiaries in the event of an unexpected accident.