While longevity rates have improved drastically in the last century, there's no doubt that living in the world today is still fraught with peril. In just the last year, over 32,000 people lost their lives on America's roadways according to the latest crash reports from the National Highway Traffic Safety Administration. Yet, this number accounts only for traffic deaths. People lose their lives in work-related accidents and other tragedies on a daily basis. That is the reason that you may wish to consider adding an Accidental Death Benefit rider to your life insurance policy.
Accidental Death Benefit
The Accidental Death Benefit Rider is a clause that can be added to a life insurance policy that pays if you die because of an accident. You will still retain the normal life insurance that pays in the event of your death, but if you lose your life from an accident, you'll receive an additional payout that equals the original death benefit. This is usually called a "double indemnity rider" because beneficiaries will receive double the death benefit. In the alternative, it is possible to purchase a standalone Accidental Death policy that will only pay a death benefit if the named insured dies in an accident.