But one question at the back of your mind will always concern you – what if there are other emergencies that either completely depletes the life insurance sum assured or creates a gap that the sum assured cannot fill?
Therefore, Tata AIA Life Insurance presents its offerings of linked and non-linked life insurance riders, which you can add to your life insurance plans for additional coverage against a range of unforeseen events and risks. So, let’s know more about life insurance riders now.
What are Riders in Life Insurance Policy?
Riders^ or rider benefits are optional and additional covers that you can add to your life insurance policy to enhance the coverage of your base policy. These covers are offered along with life insurance policies but are not included as default under the policy you purchase, thereby allowing you to customise your policy basis your needs. In life insurance, the term used for these covers is known as riders, while in general insurance, the term is called add-on, but both the terms carry the same connotation.
You will need to pay an additional but nominal premium to include the rider and its benefits in your base life insurance policy. Before adding a life insurance rider to your life insurance plan, you will first need to identify your needs and the risks you want to protect yourself and your family from.
By adding the riders you need, you can ensure that your total premiums are affordable even as you enjoy comprehensive coverage against a number of risks and events such as hospitalisation expenses, critical illnesses, major and minor illnesses and injuries, accidental death, and disability and more. In addition, while rider benefits are generally paid out as a percentage of the sum assured, you can also choose to have your future premiums waived off with a waiver of premium rider.