The Capital Sum in accident coverage represents benefits paid for which of the following?

• A. Dismemberment
• B. Death benefits
• C. Medical expenses
• D. Disability income

Answer: (A)

In accident coverage, a capital sum is a lump-sum benefit paid for specified permanent injuries. This fixed amount is tied to dismemberment—loss of a limb, loss of sight or hearing, and similar permanent impairments—rather than to ongoing expenses or income. Medical expenses are usually reimbursed costs, and disability income provides ongoing payments for time off work, not a one-time lump sum. Death benefits, if included, are typically a separate benefit schedule. So the capital sum specifically represents the lump-sum payment for dismemberment.