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Looking to Add a Rider to Your Insurance Policy? Here's What You Should Know First

Financial security and peace of mind are the top reasons that many people go for the leading insurance providers. The different developments in the insurance policies have improved the services to a variety of customers. Incomes are prone to setbacks, and hence there is a certain requirement to ensure the safety and security of your family. Thus, many people select different insurance policies according to their requirements. The rider in insurance is one such modern concept offered by multiple insurers that improve the customer experience.

What are riders in insurance?

The insurance riders are the additional covers to the existing base policy of the customers. It comes with multiple benefits to the users that give options to the users to buy the additional premiums according to the user requirements. Thus, you can go for the

Enhanced cover

The rider insurance increases the total protection cover. The additional riders of medical expenses and long hospitalization come before the death benefits. Thus, it covers all the issues of different expenses along with the death benefits.

Premium waiver

It is a benefit wherein the future premium payments are waived off by the insured under certain conditions. Usually, this benefit can be availed in case of accident, disability or death of the person who was paying the premiums when the insured is incapable of paying premiums.

Improved protection

The term rider improves the protection of the family from different hazards. Thus, you can add more teeth to your existing insurance policy that can cover life-threatening diseases, accidental disabilities, etc, along with life cover.

Minimal management issues

It is easy to manage different rider insurance plans that create management issues when purchased as separate policies. These riders work with the base life covers. You just have to pay additional premium for the riders opted. You can leverage the usefulness of the combined benefits.

Additional benefits

The additional benefits of the rider in insurance include the child’s education rider that takes care of the child’s education along with the basic policy cover to the family members.

Top 6 Rider Plans

After having a look at the multiple advantages of the riders, here are some of the most popular top rider plans include :

Premium rider waiver

The premium rider keeps the policy active even in cases when the insurer is unable to pay future premiums due to income loss or disability. The premium payments are thus secured until the policy expires, even in adverse cases. Thus, the absence of a premium waiver rider causes the collapse of the policy in case premium payments are not up to date.

Income benefits rider

This rider offers income benefits after the death of the insured person. The income benefits rider provides an additional income per annum for a pre- determined length of time with the regular assured sum.

Critical illness benefits rider

This rider offers a lump sum amount to the policyholder on the valid diagnosis of any of the critical illnesses that is pre-specified in the policy.

Accidental disability benefits rider

This rider pays the disabled policyholder regularly for the upcoming pre- determined length of time years if the disability is caused due to accidents. It may also further couple with the accidental death rider.

Accidental death benefits rider

The additional assured sum is paid by the accidental death benefits rider when the insured person dies due to an accident.

Wrapping Up

The rider in insurance is highly useful and valid only if you go for a trusted. It is added to the additional policy and is useful in tailoring the insurance policy. However, please note that riders are not compulsory and they come with extra cost.

Disclaimer:

*Tax benefits are as per the Income Tax Act, 1961, and are subject to any amendments made thereto from time to time
The article is meant to be general and informative in nature and should not be construed as solicitation material. Please read the related product brochures for exclusions, terms and conditions, warranties, etc. carefully before concluding a sale.
Make responsible financial decisions. Consult with your financial advisor before making any decisions on insurance purchase.

Suggested Plans

Bharti AXA Life Super Endowment Plan

  • Guaranteed Benefits (as per the terms and conditions of the policy)
  • Extended Life Cover Benefit
  • Tax benefits

Bharti AXA Life Monthly Advantage

  • Flexibility to choose your Policy Term and Premium Payment Term from 3 options
  • Life Insurance coverage
  • Receive Guaranteed* Monthly Income on survival/any untoward event
  • Accrued non-guaranteed simple annual reversionary bonus and non-guaranteed terminal bonus
  • Tax Benefits on the Premiums paid and benefits received

Bharti AXA Life Dhan Varsha

  • Offers you Non-Guaranteed Cash Bonuses from the 7th year
  • Guaranteed* Survival Benefits from the 10th year (as per the terms and conditions of the policy)
  • 100% of the sum assured payable as maturity benefit
  • Flexible-Premium Paying Terms
    *“Provided all due premiums have been paid and the policy is in force”