New Delhi, Varun Gupta. Riders are optional add-ons that customers can add to their life insurance policy at a nominal cost to avail additional financial protection. These riders – provide coverage against life-threatening risks like critical illnesses (such as heart disease, cancer or others), permanent disability, hospitalization, etc. Not only this, riders can help in customizing the plan as per the requirements by offering better financial protection options.
In order to benefit from your life insurance policy, you must know the following about the importance of riders to potential risk coverage.
Where on the one hand life insurance helps financially to the head of the household in case of an unfortunate incident that happened to his/her loved ones. At the same time, the rider has emerged as the best option for your life, which provides the facility of additional cover for financial protection against force majeure.
Here we are mentioning a few riders that one can opt for with their life insurance policy, so as to safeguard the financial future of themselves and their loved ones.
Premium Waiver Rider
With Premium Waiver Rider, your insurance policy will continue in future without paying any premium in case of any unexpected event like critical illness, permanent disability or death. Hence, this rider ensures that your financial plan remains secure for achieving the goals like education of children, their marriage or down payment of house etc.
Term rider added to the base policy provides additional sum assured in case of death of the insured. This amount is in addition to the amount received from the death benefit under the base policy. In this way, the risk coverage of the policy increases.
Accidental Death Benefit Rider (Accidental Death Benefit Rider)
With the increasing incidence of accidents in today’s times, this rider offers comprehensive coverage in case of any unexpected event caused by an accident. In case of accidental death, the loved one will get the additional claim amount in addition to the life cover chosen under the base policy.
Accidental Total and Permanent Disability Rider (Accidental Total and Permanent Disability Rider)
An accident can cause loss of life to anyone and it can also seriously affect a person’s ability to move or work. With the help of this rider, you get a lump sum amount to cover the cost of medical treatment, day-to-day expenses in case of loss of salary due to total and permanent disability due to accident. may help.
Hospital Daily Cash Rider
This rider offers the insured a specified amount for every day of hospitalization. If the insured is admitted in an intensive care unit, it offers you a fixed amount benefit, whereas in case of surgery, he is offered a lump sum amount. This also includes heart surgery.
Misfortune never comes by telling anyone. In today’s current environment, insurance is the need of the hour. Insurance companies cannot share someone’s emotional attachment and feelings related to that person’s life, but they can share your financial burden and lighten it. In addition, many insurance companies offer customized plans through riders that can be purchased at a lower premium than integrated insurance policies.
Therefore, judiciously protect your financial health by taking a comprehensive insurance policy from a reputed insurer without compromising with any insurance policy. Once you have chosen the base policy, maximize the benefits of the policy with a suitable rider based on your needs and budget.
(The author is Chief and Appointed Actuary, Bharti AXA Life Insurance. Views published are personal.)