Ask Mint | Opting for ‘riders’ on base policy can be a good idea

Ask Mint | Opting for ‘riders’ on base policy can be a good idea

The insurance business in India isn’t just growing, but also becoming more sophisticated in terms of product offerings. To help readers keep ahead of developments in this business, Mint features a Q&A on insurance every Monday.

I am a 28-year-old man working with a consumer goods firm. I am planning to buy a life insurance policy. Do I have to pay higher premium if I need to insure against an accident or a fatal mishap?

Most companies offer an option of “riders" on the base policy to offer benefits in case of disability caused by mishaps related to accidents.

You can opt for an accident death benefit rider which will pay an additional sum assured to the nominees in case of any fatal accidents. Since the additional cost of these riders is very low, it makes sense to opt for them.

I have been tense about the recent terror attacks. I plan to invest in a life insurance plan to insure against such eventualities. Do life insurers have a terror cover option?

All personal life insurance policies usually provide cover to the insured against death caused by any means, including terror attacks. With terrorism now touching our daily lives, it is one more reason why you should buy life insurance immediately.

Readers are welcome to write in with their queries to The questions will be answered by senior executives from leading insurance firms.

This week’s expert is Rajesh Relan, managing director, MetLife.