What Is Double Indemnity Life Insurance?

  1. 12689 POINTS
    Ted Ratliff
    Owner, SFS Associates,
    Double Indemnity usually means that if a person dies by accidental means then the plan pays double the face amount of the policy.  It is essentially an accidental death rider attached to your policy.  These used to be very popular but I don't see them as much any more.
    Answered on May 20, 2013
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    David RacichPRO
    Fountain Hills, Arizona
    Double indemnity provisions can be embedded into life insurance policies providing twice the death benefit if death was deemed accidental. To secure a policy that addresses this, keep in mind that higher premiums will be charged to cover double indemnity contracts. The odds of accidental death are not very high, so most insurance planners don’t address it.
     
    Answered on May 20, 2013
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  3. 37376 POINTS
    David G. Pipes, CLU®, RICP®
    Business Development Officer, T.D. McNeil Insurance Services, Fresno, California
    “Double indemnity” means that in the event of death by accidental means the policy will pay double the face amount.  It is actually a wedding equal amount of life insurance and accidental death insurance.  The premium for accidental death insurance is quite low as few deaths meet the definition.  The problem that double indemnity creates is the illusion that those who a person loves are going to be well cared for, when in fact the accidental death portion is unlikely to pay.
    Answered on June 18, 2014
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