MetLife’s Accelerated Death Benefit Rider
Term life insurance policies with MetLife insurance have a rider called the Accelerated Death Benefit Rider. You are probably asking yourself what type of rider is this? This rider allows you to take out a portion of money from the life insurance policy in the event you are certified by a doctor to be terminally ill. To make it easier I’ll shorten the rider name to ADBR and provide some highlights below.
MetLife views this as a person who is expected to pass away within a 12 month period. What the rider allows you to do is to take a portion of the eligible proceeds, as calculated by the insurance carrier, before passing away to use for any reason. For example maybe a person wants to use money to travel to locations in the world they have always wanted to visit but never had the time or ability to.
The thing to understand about this rider is if you add it onto your policy you do not pay any additional monthly cost to have it. The only time there would be a charge is if you actually used it. MetLife would charge a one-time fee of $150 at the time the rider is activated. The rider is there if you want to use it but that’s completely your choice. If you did use the rider, the amount of money you took out of the policy would be deducted from the total death benefit that pays out to your beneficiary.
Most clients I work with end up adding this rider to their policy. Some clients do not add it as they see the purpose of the policy to pay the full amount to the beneficiary upon passing away. The great thing about having the rider on your term life policy is that it is there if you need it and want to use it to access money. When you are completing a MetLife application for term life insurance you will want to read the ADBR Summary and Disclosure statement for more details on this rider.
About the author: Dan Cody has been in the life insurance business for over 7 years. He loves playing a variety of instruments including the guitar, bass, drums, and piano. He also supports cancer research foundations and volunteers at local pet shelters. Dan enjoys helping customers understand life insurance, so they can find a solid policy that fits their needs. You can reach Dan at 1-800-651-1953 or DCody@Pivot.com.