What are Riders in Life Insurances?Insurance Riders add/limit the functionalities of the insurance policies by providing additional coverage or by limiting the coverage.
Here are the six most popular Term Life Insurance Riders
- Accidental Death Benefit Rider If this Term Life Insurance Rider is equipped with the policy, the nominee is assured an additional sum if the death is by means of an accident. The nominee is also entitled the base coverage even without the Rider.
- Accelerated Death Benefit Rider The Accelerated Death Benefit Rider attached to the Term Life Insurance is a big help if the policyholder is suffering from a terminal illness as the family gets an amount in advance to treat the illness which otherwise would require hefty payments.
- Accidental Disability Benefit Rider If the policyholder is rendered to become physically challenged, then this Term Life Insurance Rider can be useful. Accidental Disability Rider forces most of the policies to pay a fixed amount regularly up to ten years based on the policy.
- Critical Illness Benefit Rider On a valid diagnosis of critical illness, the policyholder can claim this Term Life Insurance Rider for a good sum for his/her treatment. However, the insurance policy coverage slumps after the claim.
- Premium Rider Waiver This Rider empowers the policyholder to keep the policy active even if he/she couldn’t pay the premium after a certain amount. In the absence of this Rider, the policyholder is subjected to a loss in coverage, and in worst cases, an expired policy.
- Income Benefit Rider Income Benefit Rider for Term Life Insurance becomes the income-generating tool after the demise of the policyholder. The family is assured of an income paid annually for five to ten years in addition to the actual coverage.
Learn more about different OnlineTerm Insurance Plans here.
The information contained herein is generic in nature and is meant for educational purposes only. Nothing here is to be construed as an investment or financial or taxation advice nor to be considered as an invitation or solicitation or advertisement for any financial product. Readers are advised to exercise discretion and should seek independent professional advice prior to making any investment decision in relation to any financial product. Aditya Birla Capital Group is not liable for any decision arising out of the use of this information.
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