When it comes to employee benefits, many organizations offer health insurance, but one often overlooked yet equally important policy is Group Personal Accident (GPA) Insurance. This coverage is crucial in protecting employees and their families against financial hardships caused by accidental injuries, disability, or death.

What is Group Personal Accident Insurance?

Group Personal Accident (GPA) Insurance is a type of policy that offers financial protection to a group of individuals (usually employees of a company) in case of accidental death, permanent or partial disability, or bodily injuries resulting from accidents.

It is purchased by an employer, association, or organization for its members or employees and provides coverage 24/7, whether the employee is on duty or off duty.

Why is Group Personal Accident Insurance Important?

Accidents are unpredictable and can occur anytime, anywhere—at the workplace, on the road, or even at home. For organizations, employees are their greatest asset, and ensuring their well-being is not just a legal or ethical responsibility but also a smart business decision.

Here’s why GPA insurance is important:

• Employee Welfare: Shows you care for your workforce.
  
  

• Financial Protection: Covers medical expenses, income loss, and more.
  
  

• Supports Families: Helps the family cope financially in case of accidental death.
  
  

• Tax Benefits: Premiums paid by employers are tax-deductible as a business expense.
  
  

• Boosts Morale: Improves employee satisfaction and retention.
  
  

Who Can Buy Group Personal Accident Insurance?

This policy is designed for organizations and groups, such as:

• Companies (small, medium, or large enterprises)
  
  

• Schools and colleges (for students and staff)
  
  

• NGOs and social organizations
  
  

• Trade unions
  
  

• Professional associations
  
  

• Clubs or societies
  
  

The minimum number of members required to buy a group policy usually starts from 5 or 10, depending on the insurer.

What Does a Group Personal Accident Policy Cover?

The coverage offered under GPA insurance may vary from insurer to insurer, but most policies include the following:

1. Accidental Death

In the unfortunate event of the policyholder’s death due to an accident, 100% of the sum insured is paid to the nominee.

2. Permanent Total Disability

If the insured loses both limbs, eyesight, or suffers from any injury that renders them permanently disabled, a lump sum benefit is provided.

3. Permanent Partial Disability

Covers cases like the loss of one eye, one limb, or partial paralysis. The compensation is provided as a percentage of the sum insured.

4. Temporary Total Disability

If an accident leads to temporary disability (like fractures or surgeries), a weekly income benefit is given during the recovery period.

5. Medical Expenses

Some GPA policies cover hospitalization expenses due to an accident, including surgery, medicines, and room charges.

6. Funeral Expenses

A small amount may be offered to cover funeral and last rites expenses.

7. Education Benefit

A lump sum is provided for the education of dependent children if the insured dies in an accident.