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What is group personal accident insurance?
Group personal accident insurance is a policy purchased by a person or organisation to protect multiple people if they're injured in an accident.
The key word here is "group." It’s cover taken out by one entity (like a person, business, club, association or event organiser) to protect a defined group of people under a single policy.
Typical groups include event participants, sports club members, volunteers, venue attendees, students or employees. What matters is that the business or organisation buys the policy, and the individuals within that group are covered.
Group personal accident insurance can provide financial support if someone in the covered group is injured in an accident. Depending on the policy, this might include lump-sum payments for things like specified injuries (including temporary disability or, in some cases, death), or weekly benefits if the person is unable to work. However, what's covered varies significantly from policy to policy, so it's important to check what benefits are actually included before assuming anything.
Importantly, group personal accident insurance is no-fault insurance. It pays out regardless of who was responsible for the accident.
How does group personal accident insurance work?
Group personal accident insurance is triggered when someone in the covered group experiences an accident that results in injury or in some policies, permanent disability or death. The policy then pays benefits directly related to the impact of that accident.
Different policies offer different types of benefits. Here are some of the main ones:
- Accidental death: A lump sum payment to the insured person's estate or nominated person if they die as a direct result of an accident. Not all policies include this benefit.
- Permanent disablement: A lump sum payment for a severe permanent injury or loss of function, such as loss of limb, sight or paraplegia, resulting from an accident.
- Weekly income replacement: Payments to replace lost income which are usually a percentage of pre-injury earnings up to a cap if the insured person is temporarily unable to work due to an accidental injury. This is common in employee-focused policies.
- Accidental injury benefits: A lump sum payment based on the type and severity of an injury. Some providers use this model, with payouts for injuries like fractures, dislocations, concussions and sprains. Flip Group Active, for example, pays between $200 and $50,000 depending on the injury and level of cover.
Different payment models suit different needs. When comparing policies, ask providers which benefit types they offer and request examples of payout amounts for common injury scenarios. This helps you work out whether the cover matches what your group would actually need.
What isn't covered under group personal accident insurance?
While group personal accident insurance provides valuable protection, there are common exclusions across many policies:
- Pre-existing conditions
- Self-inflicted injuries or suicide
- Injuries while intoxicated or under the influence of drugs
- Criminal or illegal activities
- War, terrorism or civil unrest
- Specific high-risk activities (this varies by policy)
- Sickness or illness (unless sickness cover is added)
Exclusions can vary significantly across policies, so always carefully review the Product Disclosure Statement before purchasing.
Who needs group personal accident insurance?
Group personal accident insurance is used across a wide range of organisations and contexts. Here are the main groups that typically use this type of cover and why it's relevant for them.
Businesses with employees
The most common use of group personal accident insurance is by businesses protecting their employees. Employers in Australia have both a legal and ethical duty of care to provide a safe workplace for their workers.
While workers compensation insurance is mandatory for all Australian employers, group personal accident insurance can provide additional benefits beyond statutory requirements. It can cover scenarios outside work hours, provide higher benefit limits, and include contractors, directors and board members who may not be eligible for workers compensation.
Employee-focused group personal accident policies are typically arranged through insurance brokers and are offered by many major insurers.
Event organisers
Event organisers increasingly use group personal accident insurance to demonstrate participant care and strengthen risk management. It can be used for all types of events including one-off events, recurring events and professional sports races.
This type of cover has become more accessible in recent years, with options designed specifically for the events sector. Taking out group personal accident insurance for your event shows you've thought beyond the basics and are genuinely invested in looking after the people who show up.
For event organisers, this type of cover can help overcome one of the biggest barriers to participation: fear of injury costs. When participants know they'll have some financial support if something goes wrong, they can feel more confident to sign up and take part.
For example, Brisbane Roubaix, a gravel cycling event, integrated participant accident cover as part of their broader commitment to rider safety and enjoyment and saw strong growth in participation.
Sports clubs and teams
Injuries are part of sport, but the financial stress that comes with them doesn't have to be. For sports clubs, offering group personal accident insurance shows members and their families that you're serious about their welfare, not just their performance.
Amateur sports clubs can use group personal accident insurance to help reduce financial barriers to participation and provide peace of mind for members and their families. It's particularly important for clubs with junior participants, where parents often seek reassurance that their children will have support if a covered injury occurs.
Gridiron Victoria, for instance, uses Flip Group Active to provide injury cover for their players, providing peace of mind and a clear message that player welfare is a priority.
Venues and facilities
If your venue involves physical activity, whether that's a gym, climbing wall, ski resort or adventure park, you're asking people to trust you with their safety.
Group personal accident insurance is a tangible way to back that trust and create an experience where participants feel genuinely looked after. When customers know they have some protection if something goes wrong, they're more likely to come back and recommend you to others.
Thredbo integrated participant accident cover into their guest experience, giving snow sports enthusiasts injury protection as part of their visit. It's a clear differentiator in a competitive market and reinforces Thredbo's reputation for prioritising customer wellbeing.
Membership organisations
Community groups, associations, schools and not-for-profits that organise activities face a simple question: if someone gets injured during your program, how will they be supported? Group personal accident insurance could provide a solution.
This is especially relevant for organisations relying on volunteers, where duty of care obligations still apply but resources are often limited. Voluntary workers personal accident policies are specifically designed for this context, offering affordable cover for unpaid volunteers participating in authorised activities.
Group personal accident vs other insurance types
It's easy to confuse group personal accident insurance with other types of cover, but they serve very different purposes. Here's how group personal accident insurance compares with other types of cover.
Public liability insurance
Public liability insurance (PLI) and group personal accident insurance serve completely different purposes, and many organisations benefit from having both.
PLI protects the organisation from lawsuits if they're found negligent and legally responsible for an injury. Group personal accident insurance protects the individuals who get hurt, regardless of fault.
For a more detailed comparison, read our guide.
Workers compensation
Workers compensation is mandatory for all Australian employers and covers employees for work-related injuries and illnesses. Group personal accident insurance is voluntary and can offer broader protection.
Key differences include:
- Group personal accident can cover volunteers, contractors and board members who may not be in scope for workers compensation
- Group personal accident can provide cover beyond work hours
- Group personal accident often has a simpler, faster claims process
- Group personal accident can provide different types of benefits than statutory workers compensation
Income protection
Income protection insurance and group personal accident insurance solve different problems.
Income protection is designed to replace your income if you can't work due to illness or injury. It's often individual insurance and you’ll need to go through health and occupational assessments. It pays out monthly instalments while you're unable to work, up to a chosen benefit period.
Group personal accident insurance, on the other hand, covers the financial impact of specific accidental injuries for a group of people, without individual health screening. It typically pays lump sums based on the injury itself and focuses on accidents only, not illness. Some group personal accident policies offer small income replacement benefits for a short period if you are unable to work due to an accidental injury.
In simple terms: income protection pays you money when you can't work. Group personal accident insurance gives you a cash payout to help with your recovery when you're injured, regardless of whether you're working or not.
How to choose group personal accident insurance
If you're considering group personal accident insurance, here are six key factors to evaluate to make sure you're getting the right cover for your organisation.
Coverage scope and benefits
Consider what scenarios and injuries trigger payouts. Does the policy pay lump sums for specific injuries or weekly income replacement? Are the benefit amounts adequate for your group's needs? Does it provide round-the-clock coverage, work-hours-only or activity-specific cover?
Who's covered?
Check whether the policy covers employees only or also contractors, volunteers and participants. Are there age restrictions or geographic limitations? Are there activity exclusions relevant to your group?
Exclusions and limitations
Understand what's not covered. Are pre-existing conditions excluded? Are high-risk activities that your group participates in excluded?
Claims process
Find out who files claims. Is it the organisation or the individual? How long do claims typically take? Is it a digital process or traditional paperwork?
Some modern providers allow participants to claim directly via apps with fast digital processing, while traditional models typically require organisation-initiated claims with longer timeframes.
Flexibility
Can coverage be adjusted as your needs change? Is it a short-term commitment or an annual contract? What's the admin burden for your organisation?
Cost and value
Look at per-person pricing structures and whether volume discounts are available. Understand what's included in the premium and research the insurer's reputation and claims settlement history.
Pricing varies significantly depending on whether you're covering employees in a corporate setting or participants in events and activities. Traditional employee policies are typically broker-negotiated, while participant-focused options may offer direct digital purchasing with per-person-per-day pricing.
Is group personal accident insurance right for your organisation?
Group personal accident insurance could be worth considering if you:
- Are responsible for employees, volunteers, event participants, club members or venue attendees
- Want to provide financial support for people if they're injured
- Want to demonstrate duty of care beyond minimum legal requirements
- Are looking for a way to reduce participation barriers or attract customers by offering injury protection
It's less relevant if you're only concerned about protecting your organisation from lawsuits (that's public liability insurance) or if you only need to meet mandatory workers compensation requirements for employees.
Key takeaways
Group personal accident insurance provides financial protection for groups of people against accidental injuries. It serves different needs depending on whether you're protecting employees, volunteers or sports and event participants.
It’s different from public liability insurance, workers compensation and income protection, each serves a distinct purpose.
When evaluating whether group personal accident insurance is right for your organisation, consider who you're protecting, what activities are involved, your budget and how the claims process works.
And if you're looking for participant-focused cover for events, sports clubs or venues,
Flip Group Active offers flexible, digital-first options designed specifically for those scenarios.
Frequently asked questions
What does group personal accident insurance mean?
Group personal accident insurance is a policy purchased by an organisation to financially protect a group of people (like employees, participants, members or volunteers) if they're injured in an accident. It's called "group" because it covers multiple people under one policy, rather than individual coverage.
Is group personal accident insurance compulsory in Australia?
No, group personal accident insurance is not compulsory in Australia. It's a voluntary insurance that organisations can choose to take out. If you employ people, workers compensation insurance is mandatory, but group personal accident insurance serves a different purpose and covers different scenarios beyond just employees.
Can you claim if the accident was your fault?
Yes. Group personal accident insurance is a no-fault insurance, which means it pays out regardless of who was responsible for the accident. This is different from public liability insurance, which only pays if the organisation is found legally negligent.
Do I need group personal accident if I already have workers compensation?
Workers compensation is mandatory for employers and covers work-related injuries for employees. Group personal accident insurance is voluntary but can provide additional benefits, cover scenarios outside work hours, and include people not covered by workers compensation, such as volunteers, contractors, board members and event participants.
Can you have both public liability and group personal accident insurance?
Yes, and many organisations benefit from having both. Public liability insurance protects your organisation from lawsuits if you're found negligent. Group personal accident insurance protects individuals who get hurt, regardless of fault. They serve different purposes and can work well together. Always read the PDS to determine what cover is right for you.
Are there group personal accident options for sports clubs and events?
Yes, there are options specifically designed for sports clubs, event organisers and venues. Options like Flip Group Active offer flexible coverage that is priced by the day, week or season. It allows participants to claim directly via digital platforms for faster payouts.
How much does group personal accident insurance cost?
Costs vary significantly depending on the number of people covered, the risk level of activities, the benefit amounts selected and the coverage scope. Employee-focused policies are often negotiated through brokers and vary by industry and claims history. Participant-focused policies may use per-person-per-day pricing models. Options like Flip Group Active may be available with costs starting from as low as $2 per person per day depending on volume and activity type.
Further reading
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