Life insurance gives you peace of mind since it provides your survivors with financial resources to pay everyday expenses, repay debt or fund education. However, you might need five riders that enhance your life insurance policy and add a further layer of financial protection.
1. Accelerated Death Benefit Rider
Receiving a terminal illness diagnosis is emotionally and financially devastating. With an accelerated death benefit rider, you receive 40 percent of your benefits now to pay for treatment or other expenses. While this early payment reduces the amount of money your survivors receive in the future, it can ease your current financial burden and potentially prolong your life.
2. Guaranteed Insurability Rider
You might be in good health today and eligible for affordable life insurance. A change in your health condition could make you uninsurable in the future, though. With a guaranteed insurability rider, you never have to worry about needing a medical exam to qualify for life insurance.
3. Waiver of Premium Rider
Add a waiver of premium rider to your life insurance policy and receive a free pass from paying your premium. You can use this rider if you become ill, injured or unable to work. It's a beneficial option for sole earners or anyone who doesn't wish to lose life insurance coverage during a health or other crisis.
4. Spouse Insurance Rider
When you have life insurance but your spouse doesn't, you're both taking a risk. Provide your spouse with coverage, too, when you purchase a spouse insurance rider. Select the same amount of coverage as you currently have or a lower amount as you buy peace of mind and reduce your future financial risk.
5. Long-Term Care Rider
Health care expenses during your senior years can quickly drain savings, especially if you live a long time or have serious medical challenges. A long-term care rider finances your nursing home care. Although the payout reduces the benefits your survivors receive, you receive essential care in your senior years.
If any of these riders interest you, talk to your life insurance agent. Adding additional coverage increases your peace of mind and provides essential protection for you and your loved ones.