Riders

A rider is a provision that can be added to a life insurance policy to provide extra coverage for benefits that would otherwise not be covered on the primary policy. A long-term care rider would pay for some or all of your extended care expenses. In effect, your policy would provide you with "living benefits" that you can employ while you are still alive.. These can be purchased at a marginally additional premium.

Types of Riders:

a) Waiver Of Premium
What is: Waiver of premium is a benefit under which payment of premiums is waived off when the insured person suffers total disability. In such a case, further payment of premiums is exempted but the policy continues.

Need: This optional benefit ensures that the policy continues to invest the regular premium as planned and that the objective for taking the insurance policy is not compromised.
b) Critical Illness Cover


What is: If the insured is diagnosed as having any critical illness covered by the insurance company, the sum assured is paid out to the insured person as a lump sum amount. However, the policy continues even as the critical illness cover ceases to exist.

Need: The need for critical illness cover arises because of exorbitant medical costs, which can be covered, at least partially, at a nominal expense through critical illness cover.
c) Accidental Death Benefit


What is: Under the accidental death benefit rider, an additional amount covered under this benefit is payable in the case of the accidental death of the insured person during the term of the rider.

Need: The need for this rider arises because the accidental death of the insured person could cause additional financial inconveniences to the family/dependents due to the event.
d) Accelerated Sum Assured

What is: When Accelerated Sum Assured benefit rider is chosen, the insured person is paid the sum assured on being diagnosed as suffering from any of the critical illness. After the settlement of claim the basic policy is terminated.

Need: The accelerated sum assured is useful when one wants critical illnesses to be covered but desires the same at a marginal cost as compared to Critical illness cover.