Add riders to your term insurance for added protection

If you are taking term insurance in the New Year, take a little more care. Take rider policies that will give added protection to your family during critical illness, accidental death, etc. Under some riders, you can also get premium waiver and yet enjoy the insurance coverage.

Hyderabad: A little extra care you take will make a big difference sometimes. If you are taking a term insurance policy in the New Year, make sure to enquire about the rider policies as well. Don't forget to take these supplementary policies to bail you out from any needless burden during unexpected crisis situations. The riders will increase the value of your main policy and, in some cases, provide additional protection.

The insurance companies offer a wide variety of rider covers along with term policies. Everyone may not need all these supplementary policies. They may carefully consider and go for one depending on the need. The rider policies will ensure additional protection in times of accidents and critical illnesses. Some riders will also provide premium waiver facility.

In case something happens to the policyholder accidentally, the 'Accidental Death Rider' provides additional insurance coverage. The sum assured under this rider will be paid if death occurs within a few days of the accident. This is in addition to the compensation provided under the standard policy, thereby giving complete relief to the beneficiary family from any unforeseen financial burden.

If you opt for 'Critical Illness' policy, it will get you compensation in case of any critical illness during the policy period. The policy pays a fixed amount irrespective of the cost of treatment on diagnosis of the disease specified in the policy. Sometimes, the compensation paid is excluded from the basic policy. Or else, an extra amount will be paid. It all depends on the policy you choose.

The companies offer 'Waiver of Premium' riders. In case of serious diseases, accident, disability, etc, it may be difficult for the policy holder to pay term policy premium. In this case, the 'Waiver of Premium' rider helps to continue the policy without paying the premium. It is necessary to opt for this supplemental policy in order to continue the policy in case of financial difficulties.

Take note that the policyholder should understand the riders thoroughly and select them as per requirement. If taken in haste, you will have to end up wasting money. Choose the riders that will serve your future needs in any eventuality. Only then will they provide additional protection.