If you have long-term disability insurance in New Jersey, it’s important to know about riders. A rider is similar to an additional policy feature that can offer you even more coverage. It’s understandable if you find this subject intimidating, so here’s an explanation of common types of long-term disability insurance riders.
Future increase rider
You might want a larger amount of coverage for something happening in the future. If this is the case, you may need a future increase rider. These benefits can come in handy when you’re about to reach a certain age or you no longer have access to group coverage. Choosing this kind of rider can offer peace of mind throughout your lifetime.
Cost-of-living adjustment rider
When looking at your disability insurance policy, it’s wise to consider living costs. Usually, you have no control over whether or not your cost of living will soon increase. It could be beneficial to have a cost-of-living adjustment rider in your insurance policy.
Residual disability rider
If you’re partially disabled, the residual disability rider can help protect you against partial income loss. To qualify for this type of private long-term disability rider, you’ll need to be able to perform some of your occupation’s material duties. If you meet the requirements, an insurance expert calculates this rider as a percentage of your lost earnings.
As you can see, there are several benefits or riders that you might find beneficial. It’s vital to look over what riders your insurance policy offers. After doing this, you’ll have an insurance policy that suits your needs and gives you peace of mind for the future.
