(a) Basic intentions and scope of cover
Whereas PA insurance is primarily intended to provide a benefit to the insured in the event of death or injury from accident, medical insurances are intended to cover medical expenses arising from accident or sickness.
Policies usually represent annual contracts, although these may be renewed and days of grace are usually allowed for premiums other than the first one. Practice varies as to cancellation entitlements. Most policies allow cancellation by the insured, but not all grant the same rights to the insurer. Indeed, with some schemes, the intention is for the contract to be renewable at the option of the insured. Technically, however, this may render such a policy “long-term” in nature.
(b) Limitations and exclusions
(c) Premium basis
Clearly, again remembering the accident content of this cover, the insured person’s profession is important. Remembering also the sickness element of cover, the age and health of the insured person may also play an important part with this kind of insurance. Other considerations include sex, levels of cover and geographical limits.
(d) Other features