INTRODUCTION

In the event of an untimely death, life insurance is crucial for protecting your family's financial future. It offers a safety net that guarantees your family can keep their standard of living even without your income. Traditional life insurance plans, however, might not provide coverage for all sorts of demise; in this case, an accidental death benefit rider is useful.

Policyholders can purchase an accidental death benefit rider from the ICICI Prudential Life Insurance Company. Any life insurance plans can be enhanced with this rider, which offers an additional death benefit in the event of an accident-related demise. In the event of the policyholder's accidental death, the base sum assured under the policy and the sum assured by the rider is paid out. The additional cost for this rider is determined by the sum assured and the policyholder's age.

Reviewing the accidental death benefit rider from ICICI Prudential Life Insurance is crucial to determining whether the additional cost is justified. It's also crucial to think about whether the additional protection offered by the rider is required. Additionally, policyholders should consider whether an accidental death benefit rider is the best choice for their insurance requirements.

Advantages of Accidental death benefit rider

Extra coverage for accidents

This rider offers additional coverage for accidental fatalities, which are not covered by customary life insurance plans. This is one of its main advantages. Accidental fatalities can occur at any moment and can be brought on by various events, such as traffic collisions, slips, falls, or occupational mishaps. By including this rider in your insurance, you may ensure that your family is covered in the event of accidental death, regardless of how it occurs.

Easy and Convenient

Another advantage is that the accidental death benefit rider from ICICI Prudential Life Insurance is comparatively simple to comprehend and include in your policy. Adding the rider to your policy is simple, and the coverage and cost are clearly stated.

It's crucial to understand that the accidental death benefit rider offered by ICICI Prudential Life Insurance is an add-on rider that may be added to your current life insurance policy rather than being a standalone policy. To add the accidental death benefit rider, you must have a current life insurance policy. Including the rider in your policy is straightforward and easy, and it offers an extra measure of protection for your loved ones in the event of an untimely death.

Let us understand the benefits of an accidental death benefit with an example:

Mr. X bought a life insurance policy with a Sum Assured of Rs. 1,00,000 and a separate Accidental Death Benefit rider that will provide an extra Rs. 20,000 in coverage. However, there is an extra fee for the rider's accidental death benefit.

Premium without Rider – Rs.20,000 p.a.

Premium with Rider – Rs.20,000 + Rs.1600 = Rs.21,600 p.a.

Now, if Mr. X were to pass away in an accident during the policy's term, his nominee would be awarded Rs. 1,00, 00,000 + Rs. 20,00,000, for a total of Rs. 1,20,00,000. By paying merely an additional Rs 1600 in premiums for the accidental death benefit rider, Mr. X has obtained an additional Rs 20,00,000 in coverage.

How Does it work?

It's crucial to comprehend how an accidental death benefit rider functions and how it can help you and your family when considering adding one to your life insurance policy. In the event of an accidental death, the accidental death benefit rider offers an additional death benefit, which means it will supplement the death benefit offered by your life insurance policy. When you buy the rider, it will specify the accidental death benefit amount, often a predetermined number. The benefit sum is typically expressed as a percentage of the basic policy's death benefit sum.

Your life insurance policy's premium is increased by the cost of the accidental death benefit rider. The sum assured, the policyholder's age, and the period of the rider will all affect the rider's cost. The rider will cost more the older you are.

CONCLUSION

In conclusion, policyholders can purchase an additional layer of protection in the case of accidental death through the ICICI Prudential Life Insurance accidental death benefit rider. Before adding this rider to your life insurance policy, it's crucial to consider the price and advantages to ensure it fits within your budget and satisfies your coverage needs. It offers an extra layer of security for your loved ones in the event of an unexpected death, and adding it to your policy is a quick and easy process.