Which of these is not a characteristic of the accelerated death benefit option?

• A. It is always included as a rider at no additional cost
• B. The benefit is available only on term policies
• C. The benefit can be offered as a rider at an extra cost or maybe at no cost
• D. It increases the policy premium beyond the standard rate

Answer: (C)

Accelerated death benefit lets you receive part of the death benefit early if you’re diagnosed with a qualifying illness. It’s typically provided as a rider attached to the policy and is often included at no extra premium, though some plans do offer it as a rider for an additional charge. It isn’t restricted to term policies and it doesn’t automatically raise the base premium; exercising it reduces the death benefit. The statement about being offered as a rider at extra cost or no cost describes variations across products rather than a fixed, universal feature, so it isn’t a defining characteristic.