With the flexibility offered by most of the private insurers to attach riders, life insurance has become more lucrative and useful. Apart from a CI (Critical illness) rider, most private insurers also offer a DSA rider, which can be attached to the basic Endowment or Money-back policy.

The ADB rider (Accidental death benefit) provides for an additional amount equivalent to the sum assured to the survivors of the policyholder in case of his accidental death. However, this benefit is paid to the survivors only if the death occurs to the policyholder within 90 days of the accident.

Why should you opt for the ADB rider?
Firstly, as an accidental death is an unexpected one, the normal life cover can prove to be insufficient to meet the financial needs of your dependents. Secondly, there could be some liabilities, which one may leave behind after his death. This can put an additional unplanned burden on the survivors. An “ADB” rider provides the cushion to take care of this.

This benefit is different from the accident cover offered on a credit card. In case of a credit card, the survivors are paid only if the death occurs either due to a road, rail or an air accident. Secondly, the amount of accidental insurance in case of credit card is variable for each type of accident.

Unlike a credit card in case of “ADB” an additional amount equivalent to the basic sum assured would be paid even if the death occurs other than in a road, rail or an air accident. For example, death occurring from slipping in a bathroom or falling down from a staircase. The additional amount provided in this case is equivalent to the basic sum assured and is not variable.

Moreover, in case of multiple credit cards, the amount payable in case of an accidental death is not the sum total of all the credit cards. In fact the survivors receive the benefit only from one credit card (which offers the highest accident cover). Unlike credit cards, in case of multiple life insurance policies with “ADB” riders attached to them, an additional amount equivalent to the basic sum assured is payable on all the policies. This accidental death benefit on our life insurance policy is paid irrespective of the accident cover on our credit cards.

As an eventuality including an accidental death can strike anybody, it is upon us to take necessary precautions to provide monetary protection to our family. The ADB cover is an economical way to do that.

If you are interested in knowing more about these riders and how they can be effectively used, please register here take care of most of the eventualities of life, please register here. .

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