What riders/options/features are available on life insurance policies?
The following riders/options/features are available with some life insurance policies:Conversion Feature – allows the owner of a term life insurance policy to exchange (or convert) the policy to a permanent life insurance plan (whole life or universal life) without evidence of insurability.
Spousal Discount – if both a husband and a wife or two business partners purchase life insurance at the same time, then a discount will be deducted each year from the total cost of both policies.
Children’s Insurance Option – provides term life insurance coverage on each child of the insured’s family.
Accelerated Death Benefit - accelerates the availability of a portion of the death benefit if the insured is diagnosed as terminally ill by a licensed physician (must be terminal within 12 months).
Waiver of Premium Option - the insurance company will continue to make your life insurance premium payments if you become disabled.
Accidental Death Benefit Option – an additional death benefit will be paid if you die by accidental means.
Guaranteed Purchase Option - guarantees that you may purchase additional life insurance in the future without proof of insurability