This is one of the additional features offered by many group personal accident (GPA) policies. Under this provision, the insurer refunds the amount spend on modifications to the house and vehicle of the insured provided:
- The insurer accepts the claim for permanent total disability or permanent partial disability for the insured
- The modifications have been made at a reasonable cost
- The modifications do not break any existing law
- The modifications have been certified by a doctor as necessary for normalizing the living condition for the insured
Also, if the insured is eligible for the same benefit from other sources the insurer will not cover this benefit. You may note that Employee Compensation Insurance may also offer similar benefits to the employees.
If the modification expenses are covered by any other insurance policy GPA policy will not be liable for it.
Both the legs of Manoj Singh had to be amputated when they got crushed under his motorcycle when a delivery truck collided with him. Though Manoj was rescued by doctors; he lost his one leg.
Manoj was working in an IT company as a technical engineer. His company was offering him a group personal accident insurance. Here, his company agreed to cover his disability under the group personal accident insurance. The company informed the insurer who asked for information and documents like a complete account of the accident, claim form, salary certificate of Manoj, etc. On the basis of this information, the insurer compensated Manoj with a lump sum amount and also covered his medical expenses which he incurred on his treatment.
After the accident, Manoj had to modify his house as well. Living with his wife and two-year old son, his house was situated on a fifth floor without any lift. Before the accident, it was easy for Manoj to climb without any issues. However, now things were different. Without a lift, his wife would have to take the help of neighbours to take Manoj to the home. It caused pain to his arms as well.
Read More: What is group personal accident insurance?
On the suggestions of friends and family, Manoj decided to install a lift for him. After having a detailed discussion with the engineer, he decided to have a small lift which could easily carry him to his house. It was a lift which was made only for him. Considering the medical state of Manoj, the liftman customized the lift as per his requirements.
Manoj had to incur total Rs 40,000 expenses on constructing and customizing a lift. He approached his group personal accident insurance company who accepted his claim.
As lift was necessary to facilitate the movement of Manoj, the group personal accident insurer considered it as a necessity. Also, as the insurer had accepted the disability claim of Manoj and paid him a lump sum amount as compensation, the lift expenses were also covered under the policy. The insurer asked for the bill amount and the doctor’s certificate which stated that without lift, Manoj had to endure lots of physical pain which hampering the strength of his arms as well. Therefore, the lift was necessary for him.
In this case, the group personal accident insurance company offered the following three coverages=
- Medical expenses coverage= The insurer covered medical expenses incurred by Manoj on his treatment. As he had to stay nearly for a month in the hospital, he incurred huge medical expenses of Rs 3 lakh. The insurer paid the medical expenses after reviewing the medical bills submitted by Manoj.
- Lump-sum disability cover= As Manoj had become permanently disabled, the insurer paid a lump-sum amount as compensation. To compute the compensation amount, the insurer asked for documents/information like a complete account of the accident, salary certificate, etc.
- Modification expenses cover= As Manoj had to modify his house after the accident, the insurer settled the expenses incurred by him on modification. The insurer asked for documents like accident details, doctor’s certificate to prove that modification was necessary.
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