Bryce purchased a disability income policy with a rider that guarantees him the option to purchase additional amounts of coverage at predetermined times without providing evidence of insurability. What kind of rider is this?

• A. Nonforfeiture rider
• B. Guaranteed insurability rider
• C. Cost-of-living rider
• D. Waiver of premium rider

Answer: (B)

A guaranteed insurability rider is designed to let you buy more disability coverage at specific future times without having to prove you’re still insurable. Bryce’s policy uses this rider to give him the option to increase his disability benefits at predetermined dates (or events) up to a set limit, with the new coverage underwritten only by the rider’s terms, not by medical questions at the time of exercise. This protects him against potential health changes making future underwriting harder.

Nonforfeiture riders relate to preserving value in cash-value life policies, not increasing disability coverage. A cost-of-living rider automatically adjusts benefits for inflation but doesn’t create new eligibility events to add coverage without evidence of insurability. Waiver of premium riders simply suspend premium payments when the insured is disabled, without adding new coverage.