Life Insurance Riders You Can Consider

 A life insurance rider is basically an additional benefit that you can buy alongside your standard life insurance policy. This add-on cover offers added protection and helps in enhancing the coverage of the life insurance plan.

To receive the benefits provided by an add-on cover you are required to pay an extra premium amount over and above the premium paid by you towards the standard insurance plan.

Types of Life Insurance Riders to Consider

Take a look at some of the commonly opted for life insurance riders that you can buy for added coverage:

• Hospital Care Rider

A hospital care rider provides protection to the policyholder against hospitalisation expenses incurred by them. The hospitalisation can be for the purpose of treatment of any disease, illness or medical condition. The benefits under this rider are paid out generally in the form of daily cash benefit for the number of days of treatment in hospital.

• Surgical Care Rider

If the policyholder needs to undergo a surgery then this life insurance rider provides a lump sum amount to help them in covering the expenses that they would incur during the treatment. Generally, a lump sum amount offered by the insurance company varies as per the nature and type of the surgery.

• Critical Illness Rider

This is one of the most popular life insurance riders available in the market. Buying this rider along with a basic life insurance plan offers extended coverage to the policyholder. Under this rider, a lump sum amount is paid off when a policyholder first gets diagnosed with a specific type of critical illness. The sum assured is generally paid out in this rider to the policyholder after a specific time period from when the diagnosis got confirmed.

• Accidental Death and Disability Rider

Under this insurance rider, a policyholder does not only receive a sum assured rider for accidental deaths but also for a specific percentage of it for accidental disability. Therefore, in case the policyholder suffers from any kind of disability because of an accident, they would get a specific percentage of sum assured rider.

• Waiver of Premium Rider

If the policyholder becomes permanently disabled because of an illness or accident, their ability to earn may somewhat get affected. Thus, it may get  impossible to pay premiums in future towards the life insurance plan. Having this life insurance rider can waive off all the future life insurance premiums. This simply means that in case a policyholder becomes disabled completely because of an accident or illness, then they would not be required to pay the premiums that are due after that point.

In a Nutshell

It is only wise to stick to the life insurance riders that you are in need of at the moment and not to include any unnecessary riders. This is because with the increase in the number of riders your premium payable towards the plan also tends to increase. And this can not just put you in financial strain but also increase your chances of missing out on the payments.

Also read - When Do You Need Life Insurance Riders?

Disclaimer: This article is issued in the general public interest and meant for general information purposes only. Readers are advised not to rely on the contents of the article as conclusive in nature and should research further or consult an expert in this regard.