Which of the following statements regarding the accidental death benefit rider (also known as double indemnity)is true?

Question

Quizplus · Accepted Answer

The accidental death benefit rider (also known as double indemnity) doubles the death benefit only if an accidental injury is the direct cause of death and death occurs prior to a specified age. This means that option A is incorrect, as adding the rider does not necessarily double the premium for the policy. Option B is also incorrect, as financial planners may have varying opinions on the value of the rider. Option C is incorrect, as the economic value of a human life does not change based on the cause of death.

Which of the Following Statements Regarding the Accidental Death Benefit