Optional coverage

Life insuranceLife Insurance Insurance that pays cash to your family or other beneficiary after your death. This can give them income and help pay your funeral and other final costs.+ read full definition policies often come with features that are built into your premium cost – or optional coverages known as riders that you can add to your policy for a price. Ask your insurance agentInsurance agent A person who is trained and licensed to give expert advice and sell insurance. Some get extra training so that they can also sell investments. They get paid by the companies whose products they sell.+ read full definition about the features and optional coverages available to you.

6 common features and riders

1. Joint policy – pays a death benefitDeath benefit Money that your life insurance or savings and pension plan(s) pays to your estate or beneficiary after your death. Example: If you contributed to the Canada Pension Plan, money may go to your estate, spouse or common-law partner and children.+ read full definition to the surviving spouse, or to your estateEstate The total sum of money and property you leave behind when you die.+ read full definition after both of you die. Similar to a term life insurance policyTerm life insurance policy An insurance policy that covers you for a set period of time (the term). It pays a set payment if you die before the end of the term. At the end of the term, you can choose to renew the policy or let it end.+ read full definition for both you and your spouse, but can cost less than buying 2 separate policies.
2. Disability waiver of premium – waives your premium during any period in which you become disabled.
3. Accidental death benefitBenefit Money, goods, or services that you get from your workplace or from a government program such as the Canada Pension Plan.+ read full definition – provides your beneficiaryBeneficiary The person(s), institution, trustee or estate you choose to give money, property or other benefits when you die. You may name beneficiaries in your will, insurance policy, retirement plan, annuity, trust or other contracts.+ read full definition with an additional death benefit if your death occurs by accident.
4. Conversion right – lets you switch from a termTerm The period of time that a contract covers. Also, the period of time that an investment pays a set rate of interest.+ read full definition to a permanent life insurance policyInsurance policy A written contract for insurance. It describes how long you are covered, what you are covered for, any part that you have to pay (the deductible) and what you will pay for the insurance (your premium).+ read full definition without getting a medical exam.
5. Guaranteed insurability – lets you increase your death benefit without getting a medical exam.
6. Children’s life insurance rider – provides life insurance protection for all children in your immediate family.

Take action

Ask your insurance agent about the features and optional coverages available to you.