A child rider is an additional provision that can be added to a life insurance policy to provide coverage for the insured's children. It is designed to protect the financial future of the insured's children in the event of their untimely death. Child riders typically provide a death benefit if the insured's child passes away during the term of the policy. This benefit can help cover funeral expenses and provide financial support to the family during a difficult time.
Child riders are usually available as an add-on to a parent's life insurance policy. The coverage amount for the child rider is typically a fraction of the parent's coverage amount, such as $10,000 or $20,000. The cost of adding a child rider to a policy is usually minimal, often just a few dollars per month.
It's important to note that child riders are not standalone insurance policies. They are an additional feature that can be added to an existing life insurance policy. The child rider coverage is usually in effect until the child reaches a certain age, such as 18 or 25, depending on the terms of the policy.
Adding a child rider to a life insurance policy can provide peace of mind for parents, knowing that their children will be financially protected in the event of their death. It can help cover immediate expenses and provide a financial safety net for the family during a difficult time. However, it's important to carefully review the terms and conditions of the child rider, as coverage may vary between insurance companies and policies.