With various advantages of an endowment policy, you get a gamut of benefits with the plan itself. Some plans may offer flexibility in premiums, liquidity, returns that are compounded and low risk in investment. You can also add riders to enhance the scope of cover of your existing base policy.
Riders which are Suitable for an Endowment Policy
Riders are certain add-ons or additional covers to your endowment plan. They are supplementary features that give you more cover. These can be opted for at the time of the policy’s issuance, in exchange for an additional amount of the premium. Some common add-ons include critical illness benefits, permanent disability benefits, and accidental death benefits, among others. It's important to know which riders your plan can give you, should you need them, and it's worth knowing what they are. You can read on to find out:
● Rider for Critical Illness
As the name suggests, this is a rider that covers the expenses related to critical illness, should this affect the policyholder. This rider provides a Lumpsum which can be used to cover treatment costs of critical illnesses, such as cancer, certain heart conditions, kidney failure, and the likes, when the insured is diagnosed with an illness during the endowment insurance policy term. The benefit is payable only if the life insured is diagnosed with any of the illnesses covered under the rider.
● Total Accidental and Permanent Disability Rider
This rider gives a lump sum amount as per the rider terms & conditions, to the individual assured by the policy in case the policyholder is afflicted by permanent, or total disability due to an accident. The condition for this rider to take effect, is that the policyholder’s disability as a result of an accident prevents the life assured from earning an income to support themselves and family members.
● Accidental Death Rider
If the unfortunate demise of the life assured takes place during the term of the policy, and this death is due to an accident, the sum assured, along with the rider benefit, is paid to the nominee depending on the rider terms & conditions.
Conclusion
Through the features and benefits of any endowment plan, the requirement for saving is met. Moreover, endowment policies are straightforward and offer insurance holders transparency.
An endowment plan provides a corpus for the dependents and the family of the insured and gives the policyholder the peace of mind that comes with financial security. As life is very unpredictable right now, endowment plans are suitable to secure your family’s financial future.
BJAZ-WEB-EC-00868/22
An ISO 9001:2015 
