Free Quotes Term Life Insurance in Maryland, D.C. and Virginia
Term Life Insurance Riders for Term Life Insurance policies in Maryland, D.C. and Virginia
Term Life Insurance is the purest form of protection. It is also usually the cheapest alternative to any other type of Life Insurance. The basic definition is coverage at a fixed rate of payments for a limited period of time, most commonly 10 years, 20 years, or even a 30 year term. After that period expires, coverage at the previous rate of premiums is no longer guaranteed and the client must either forgo coverage or potentially obtain further coverage with different payments or conditions. If the insured dies during the term, the death benefit will be paid to the stated beneficiary. Term insurance is the least expensive way to purchase a substantial death benefit on a coverage amount per premium dollar basis over a specific period of time.
Term Life Insurance Riders
Riders are attachments or special amendments that are added to the core policy that add specific coverage at the request of the policyholder. Riders usually add a small additional cost to the core policy.
Accidental Death Benefit Rider
When added to a life insurance policy, this rider secures an additional amount of money to be paid to the beneficiary/beneficiaries if the policyholder dies as a result of an accident. Often referred to as “double indemnity,” this life insurance rider usually doubles the amount of the death benefit.
Waiver of Premium Rider
This life insurance rider waives the responsibility to pay the premium if and when the policyholder becomes disabled, during the length of time the policyholder is disabled. Premiums must be paid, but if the insured has become disabled and suffers from loss of income as a result, the waiver of premium life insurance rider will guarantee the active status of your life insurance even if the premiums are not paid. A similar life insurance rider that is especially beneficial is the disability income rider, which secures a monthly income should the insured become permanently disabled.
Accelerated Death Benefit Rider
This life insurance rider allows the insured to collect either all or a portion of their life insurance policy while they are alive. The insured can claim this rider if he/she is diagnosed with a terminal illness, requires long-term care or admission to a nursing home. With these conditions, the insured would most likely be unable to continue work and earn an income. This life insurance rider can help relieve some of the financial burden and medical costs.
Renewal Provision – Guaranteed Insurability Rider
This life insurance rider guarantees your life insurance policy’s renewability at the end of its term (assuming you purchased a term life insurance policy rather than a permanent whole life insurance policy). Upon renewal, you can add coverage to your policy and will not need to provide further proof of your insurability. However, consult with your insurance agent to find out whether your provider grants this rider with conditions (does it expire after a certain age? Is renewability only valid within a set time period?). This life insurance rider is especially valuable because a term life policy may expire before the policyholder has passed on, but at a time when the policyholder’s condition is uninsurable.
Family Income Benefit Rider
This life insurance rider provides a continuous monthly payment to your beneficiaries in the event of your death. Rather then receiving one lump sum, your beneficiaries can receive the death benefit in monthly payments, which means a reliable source of income. When adding this life insurance rider, the insured (you) chooses the length of the term you would like to provide this income security.