An accident insurance is a type of insurance that helps a person in part of the financial needs if a person has to face an accident which may lead them to a state where they may no longer be able to earn their living by working. This insurance is payable only if a person has to face a disability whose reason is an unexpected accident and is not something which is a fault of the person taking the insurance.

For such reason there are exceptions stated for which a person cannot apply for the insurance. For example a person who has adapted the profession of wrestling cannot apply for such insurance plans because an accident occurring in the wrestling business cannot be counted as something which is unexpected or whose chances are low. Similarly there can be other professions which the insurance company can exclude from the list of applicable candidates for the insurance.

            A person is paid the insurance amount during the period where they are facing a permanent or temporary disability. However many companies may have a condition of paying only fraction of the insurance amount if the disability is temporary such as a broken leg and others. But if for example, a person has to loose a hand or leg then this type of disability can qualify for the full insurance amount which maybe paid in installments or at once.