Double Indemnity

Double indemnity is a clause or provision in a life insurance policy whereby the company agrees to pay the stated multiple (i.e. double) of the face amount in the contract in cases of death caused by accidental means. This includes murder by a person other than, and not in collusion with, the beneficiary of the insurance policy, and most accidental deaths. It excludes suicide and deaths caused by the insured person’s own negligence as well as natural causes such as cancer or heart disease since these are not considered accidental.

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