Which rider allows an early payout of the policy due to terminal illness or other conditions specified for payout?

Which rider allows an early payout of the policy due to terminal illness or other conditions specified for payout?

• A. Cash Payment
• B. Accelerated Benefit
• C. Guaranteed Insurability
• D. Options

Answer: (B)

An accelerated benefit rider is a living benefit that lets you access part of the death benefit while the insured is still alive if diagnosed with a terminal illness or another qualifying condition defined in the policy. This provides funds to cover medical costs or living expenses during a serious illness. Because you’re drawing from the death benefit early, the remaining amount payable to beneficiaries later is reduced by the amount advanced (and any related terms). This rider is specifically designed to provide liquidity and support during advanced illness, making it the correct choice for early payout due to terminal or other specified conditions. The other riders serve different purposes and don’t provide an early payout based on illness.

An accelerated benefit rider is a living benefit that lets you access part of the death benefit while the insured is still alive if diagnosed with a terminal illness or another qualifying condition defined in the policy. This provides funds to cover medical costs or living expenses during a serious illness. Because you’re drawing from the death benefit early, the remaining amount payable to beneficiaries later is reduced by the amount advanced (and any related terms). This rider is specifically designed to provide liquidity and support during advanced illness, making it the correct choice for early payout due to terminal or other specified conditions. The other riders serve different purposes and don’t provide an early payout based on illness.