I heard that I didn’t need Occupational Accident insurance any longer because we are on social security.  I cancelled the insurance with A4DD.  Was that correct information for we seniors or is this still required? – Scott W. from Florida

Dear Scott:  Qualifying for Social Security (and/or Medicare) is not a justification to drop Occupational Accident insurance (OccAcc).  Here’s why:

1. Legality. One reason delivery companies want drivers to have OccAcc is that their customers require it.  The customers want all vendors to be insured for injury so they don’t have to worry about getting dragged into a costly Workers Compensation claim or lawsuit.  Seniors hurt on the job have the same rights to Workers Compensation as any other workers.  Therefore, OccAcc insurance needs to be in place for seniors as well as younger drivers.
2. Need.  Older workers statistically have a greater likelihood of injury.  Social Security income often will not fully offset seniors’ income from delivery work.  Regardless, those  social security benefits would have been earned ON TOP OF work income, so a senior’s income will be reduced by a disabling injury just like any other driver.  Meanwhile, Medicare health insurance has costly gaps, limitations, and out-of-pocket expenses (coinsurance/co-pays/deductibles).  OccAcc insurance will cover most in full.
3. Fairness.  Seniors receive the same monthly OccAcc income benefits regardless of whether they also are receiving social security income benefits.  Seniors with medical claims will submit their claims through Medicare with OccAcc filling in the gaps.  Does that mean seniors are overpaying for OccAcc.?  Consider this.  Given the greater chance of injury to seniors (and the likelihood that injuries become more serious), seniors theoretically should be paying HIGHER premiums for the same OccAcc benefits.  That is what happens in many OccAcc programs (assuming seniors are able to qualify for insurance at all).  A4DD’s program charges seniors the same rates as other drivers, making our program fair to all.

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