Florida Life and Health Insurance License Practice Test 2026 - Free Insurance Practice Questions and Study Guide

Question: 1 / 400

What purpose does a rider serve in a life insurance policy?

It modifies the premium amount

It allows early access to benefits

It adds benefits or modifies coverage terms

A rider in a life insurance policy serves to enhance or clarify the coverage by adding specific benefits or modifying the terms of the existing coverage. This addition allows policyholders to customize their insurance to better fit their individual needs or circumstances. For example, common riders include accidental death benefits, which provide an additional payment if the insured dies due to an accident, or a waiver of premium rider, which allows the policyholder to skip premium payments in the event of disability.

By adding these riders, the policy becomes more tailored and can provide broader protection than the base policy would offer alone. This customization is particularly valuable for individuals seeking to address specific risks or needs in their life insurance coverage. Therefore, the primary purpose of a rider is to expand the coverage options available to the policyholder.

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It excludes specific circumstances

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