Income benefit rider advantage financially


How much additional sum can one expect if opting for income benefit rider in term insurance?


Usually life insurance companies pay out 10% of the sum assured for 10 years for individuals
opting for income benefit rider clause. If you are the sole breadwinner for your family, it makes sense to opt for an income benefit rider. Under such a rider clause, the insurance company pays out an additional income over the sum assured value.


Hi Sohini,

The income benefit rider offers benefits to the insurance holder’s family in case of his or her sudden death. The aim of this rider is to act as a regular income source for the family of the deceased policyholder. Payment is generally made as a percentage of the total sum assured and this acts as supplementary income for the dependents. The percentage varies from one insurer to another. Check with your insurer to understand the terms and conditions of this rider.

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BB Expert