AD&D and term life

Accidental Death & Dismemberment (AD&D)

The AD&D coverage pays benefits prior to the retirement age or up to age 65 provided that the death or dismemberment is caused by an accident.
AD&D will pay designated beneficiaries benefit according to AD&D schedule for loss of life and dismemberment due to accidents.

Term life coverage

Term Life Coverage pays benefits in the event of the insured person’s death prior to the retirement age or up to age 65.
Term life will pay designated beneficiaries a lump sum benefit without medical evidence for loss of life due to sickness and accidents including murder and suicide.

FAQ :

Q: What is AD&D? What is Term Life?
A: AD&D means Accidental Death and Disability. It indemnifies death or disability caused by an accident. Term Life insurance indemnifies death due to an accident or illness.

Q: I have health insurance already. Do I still need accidental insurance?
A: Health insurance covers the cost of medical treatment. AD&D provides cash compensation in case of death or disability due to an accident.

Q: I am single with no dependant. Do I need AD&D or Term Life insurance?
A: In this case, the minimum you need is an AD&D insurance which will cover you in case of disability caused by an accident. It will compensate for loss of income.

Q: What is your suggestion on the indemnity limit?
A: Normally, we advise our client to insure 3 to 6 times of their annual income as indemnity limit.

Q: Do I need to do a health check-up to apply for AD&D or Term Life insurance?
A: It depends on the plan you choose. Health check-up is not needed for AD&D policy. For some Term Life insurance products, a health check-up will be requested if indemnity limit is over RMB1,000,000. For some products, the limit is RMB 2,000,000.