Define policy rider and describe the purpose of the five basic ones
What will be an ideal response?
Answer: A rider is a special provision that may be added to your policy, which either provides extra benefits or limits the company's liability under certain conditions. A waiver of premium for disability rider allows your insurance protection to stay in place by paying your premiums if you become disabled before you reach a certain age, usually 65. An accidental death benefit rider or multiple indemnity rider doubles or triples the death benefit when the insured dies from an accident rather than from natural causes.
The guaranteed insurability rider gives the right to increase your life insurance protection in the future without a medical examination. A cost-of-living adjustment rider increases the death benefit at the same rate as inflation without forcing you to pass a medical exam. Some cash-value policies allow for living benefits; that is, this rider allows for early payout of a percentage of the anticipated death benefits for the terminally ill, enabling them to pay medical bills, etc.
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Companies prepare classified financial statements because they are required by international accounting principles
a. True b. False Indicate whether the statement is true or false
Which of the following statements about Asian American buying patterns is most accurate?
A. Because McDonald's standardizes its products across all cultures, it does not actively market to Asian Americans. B. There is no real diversity among Asian American subcultures. C. The Asian American subculture is the most entrepreneurial in the United States. D. Assimilated Asian Americans exhibit buying patterns that are very different from the typical American consumer. E. Consumer research on Asian Americans suggests individuals and families divide into three groups - assimilated, non-assimilated, and recent immigrants.
Jones Blanket Company sells blankets for $25 each. The variable cost of each blanket is $10. If fixed
cost is $4,500,000, then the break-even point is 300,000 units. Indicate whether the statement is true or false
Alex is a calendar-year sole proprietor. He began business on December 1, this year. He uses the accrual method of accounting. Alex had the following collections in December:• Collected $7,000 in December, from clients who paid cash for services to be performed next year.• Collected $5,000 in December, for services performed during December; deposited in an operating account on December 31, this year.• Collected $12,000 in December; on accounts receivable for services performed in December; deposited in operating account on January 2, next year.What is the amount Alex must include in his income for December?
A. $24,000 B. $7,000 C. $12,000 D. $17,000