Ace the OTL Challenge 2025 – Unlock Your Insurance Success Story!

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What is a rider in insurance terms?

An additional clause modifying the original policy

In insurance terminology, a rider refers to an additional clause that modifies the original policy. This means it is an extension or addition to the existing coverage that enhances or alters the policy's terms, providing specific protections or benefits beyond what is typically covered. Riders can be used to tailor an insurance policy to meet the unique needs of the policyholder, such as adding coverage for specific events or increasing benefits.

For instance, a life insurance policy may include a rider that provides accelerated death benefits in the event of a terminal illness, allowing the insured to access a portion of the death benefit while still alive. Such modifications make riders valuable tools for customizing policies to better fit individual situations and preferences.

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The base cost of an insurance policy

A standard term for all policies

A type of insurance coverage

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