A life insurance cover helps you secure the financial future of everyone dependent on your income in the event of your death. Nobody can help overcome the loss of a dear one, but imagine that along with this loss the surviving members of the family are hard-pressed to maintain their lifestyles because they were partially or fully dependent on the income of the deceased. Getting an adequate life cover is absolutely essential if the sum of the total value of your assets (other than the home you stay in) less your total liabilities (including any home loan, car loan or personal loan you might have outstanding) is less than 150 times your current monthly expenses. The shortfall would be the recommended amount of life cover you should seek. At ApnaPaisa, we help you reach out to a maximum of 5 service providers who will propose alternative plans that you can compare based on:
- Life Cover (also known as Sum Assured)
- Annual Premium
- Additional Riders Offered
Often customers get lured into combining their life cover requirements with an investment objective. We do not recommend this approach because it is always a lot more affordable to opt for a term insurance policy and invest the savings on the annual premium into any savings instrument of your choice - be it PPF, Fixed Deposits, Mutual Funds or even shares.
Accidental Disability/Dismemberment Benefit Rider
Safeguard yourself against disabilities ,arising as a result of accidents , during the term of the insured's life insurance policy with Accidental Disability/Dismemberment Benefit rider .Apnainsurance.com Research Bureau
21 Dec 2007
Insurance companies offer the Accidental Disability/Dismemberment Benefit rider in addition to the life insurance cover to provide against disabilities arising from accidents. In the event of total and permanent disability during the term of the policy due to an accident (within a specified period from the date of accident), an amount equal to or less than the rider sum assured is be paid to the insured.
Payout terms and conditions vary from company to company.
For example, some companies offer a disability benefit only in case of permanent disability. There are riders that offer permanent and partial disability benefit in the event of an accident. As per the latter rider, the insured receives 50 per cent of the sum assured in case of permanent partial disability and 100 per cent of the sum assured in case of permanent total disability. There are other riders too, that provide 25 per cent to 100 per cent of the sum assured, depending on the extent of dismemberment/disability.
See also:
Accidental Death Benefit RiderCritical Illness Benefit Rider
Guaranteed Insurability Option Rider
Hospital Cash Benefit Rider
Life Guardian Benefit Rider
Waiver of Premium Rider
Term Rider
FAQs on Life Insurance Basics
Life Insurance FAQs on Premiums
Life Insurance FAQs on Claims
Life Insurance FAQs on Insurance Company and Insurance Agent