Personal Accident Cover for Car Insurance: Is it Worth It?

February 2026

When buying Motor insurance you may be offered Personal Accident cover as an optional car insurance add-on. But what does this mean? Don’t worry! We’re here to help you fully understand what is protected by Personal Accident cover so you can decide if you wish to add it to your motor policy or not.

Personal Accident cover is designed to provide a fixed benefit if you suffer serious bodily injury or death because of an accident involving the insured vehicle**, subject to the terms and conditions of the policy.** 

Although it’s not a nice thing to think about, unforeseen accidents do happen and could cost you a significant amount in medical bills or loss of earnings. 

If you have Personal Accident cover, it pays a fixed sum if an insured driver is killed or seriously injured because of an accident**, in accordance with the policy wording.** 

Where Personal Accident cover has been purchased as an additional benefit on a car insurance policy, the accident in question must have been in connection with the use of the insured car**, as defined in the policy.**

Cover will vary between policies on sums to be paid and on how benefits are defined. The Allianz Car insurance policy pays the sum of €15,000 in respect of any of the following suffered by an insured driver or any other occupant of the insured car because of an accident involving the insured car**, subject to policy terms, definitions and exclusions:** 

• Death; 
• Complete and permanent loss of sight of one or both eyes; 
• Loss by severance of one or more limbs at or above the ankle or wrist; 
• Permanent total disablement, meaning inability to perform or attend to any business, profession or occupation. 

The cover also includes benefits for temporary total disablement which is €60 per week for up to 50 weeks and for medical, surgical and hospital fees which is €150 per week for up to 10 weeks**, subject to policy terms, definitions and exclusions:**.

The driver of the insured car must be covered under the motor insurance policy to drive the car. Otherwise, there is no cover. 

There is no cover where the driver of the insured car is found to have been under the influence of drink or drugs at the time of the accident. 

The cover applies to accidents. There is no cover in the event of an incident that was not accidental. Without wanting to be morose, there is no cover where an incident was deliberately caused, including suicide or attempted suicide.

If you are involved in a road accident that is not your fault, then you should be able to claim for injury and loss of earnings from the ‘at fault’ party. However, if you are found to be legally liable then you have no access to compensation. If that’s not a chance you a willing to take, it makes sense for you to choose Personal Accident cover as part of your policy. 

Personal Accident cover provides the certainty that defined fixed sums will be paid in the event of death or serious injury to an insured person. Those fixed sums can go some way to covering medical expenses and/or loss of earnings.

Many drivers find it worth the small annual cost (e.g., €8.40 per year) because it provides financial "certainty." If you are unable to work or face high medical bills after a self-inflicted accident, the fixed sum can help cover loss of earnings that your standard policy wouldn't touch.

You will typically not be covered if: 

• The driver was under the influence of alcohol or drugs. 
• The injury was deliberately caused (e.g., self-harm or attempted suicide). 
• The person driving was not legally authorised or insured to drive that specific vehicle. 
• The incident was not an "accident" (it must be an unforeseen event)

Yes, most comprehensive PA add-ons (like the Allianz example provided) cover both the insured driver and any other occupants of the car at the time of the accident, provided the accident occurred in connection with the use of that vehicle.

While both can pay out upon death, Personal Accident cover is much more specific. It only pays out if the death or injury is the direct result of an accident involving the insured vehicle. It does not cover death by natural causes, illness, or accidents occurring outside of the car.

Allianz p.l.c is regulated by the Central Bank of Ireland. Standard acceptance criteria apply. 

Information correct as at 17/02/2026