Understanding the Tennessee Rider: Accidental Death Coverage for Life Insurance

A Tennessee rider is an optional endorsement added to a life insurance policy that provides an additional death benefit if the insured dies due to an accident.

Key Features

• Supplemental Payout: Pays on top of the base policy face amount (e.g., a $500K policy with a $250K rider pays $750K for accidental death).
• Covered Accidents: Typically includes motor vehicle crashes, falls, drowning, choking, fire, public transit incidents, and certain work-related accidents.
• Flexible Amount: Policyholder chooses the rider face value (often up to the base policy limit).
• Beneficiary Designation: Can name specific beneficiaries for the rider proceeds, separate from the base policy.
• Tax-Free: Benefits are generally income-tax-free to recipients, like standard life insurance.

Considerations

Riders increase premiums. They may exclude deaths from high-risk activities (skydiving, racing), war, or self-inflicted injury. Review the specific policy language for definitions, exclusions, and age limits (often terminates at 70).