Think of riders in life insurance like add-on options for your phone. They're extra features that you can include in your policy to make it even more useful. Here are some common types of riders available with life insurance policies in India and how they work:
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Accidental Death Benefit Rider
It's like having extra security software on your phone. If you die due to an accident, this rider provides an additional payout along with the regular life insurance benefit. It's like an extra layer of protection for unexpected situations.
Critical Illness Rider
Think of this as a health app for your phone. If you're diagnosed with a serious illness such as cancer or heart disease, this rider offers a lump sum payout. It's like having extra funds to cover medical expenses and recovery without draining your savings.
Disability Rider
Imagine your phone having a backup battery. If you become disabled and can't work, this rider provides a regular income. It ensures you have money coming in even when you can't earn a salary.
Term Rider
This is like extending your phone's warranty. It adds extra coverage for a specific period on top of your main policy. If something happens during that time, your beneficiaries receive an additional payout.
Waiver of Premium Rider
It's like having someone else pay your phone bill if you can't. If you become disabled or seriously ill, this rider waives your premium payments while keeping your policy active.
Income Benefit Rider
Think of this as an app that boosts your phone's performance. If you pass away, this rider provides your family with an extra stream of income for a certain period.
Term Conversion Rider
This is like upgrading your phone to the latest model. It allows you to convert a term insurance policy into a whole life or endowment policy without a medical exam.
Child Education Rider
Imagine an app that helps you save for your child's education. This rider provides funds for your child's education if something happens to you.
Family Income Benefit Rider
It's like setting up a monthly allowance for your family. If you pass away, this rider ensures your family receives a regular income for a specified period.
Each rider is like adding a special feature to your policy, making it more comprehensive and tailored to your specific needs. Just as you customize your phone to make it more functional, adding riders to your life insurance policy ensures that you have the right protections in place for different life situations.
