Understanding Different Types of Insurance Riders and Add-ons
By Rozmek Team
•
September 25, 2025
Think of a standard insurance policy like a new car—it comes with all the basic features you need to get on the road. But the real magic often comes from the optional upgrades.
Insurance riders (also called add-ons or endorsements) are like those upgrades. They are optional coverages you can add to your base policy to customize it, fill in critical gaps, and get protection that's perfectly tailored to your life. Here are some of the most common and valuable ones.
Common Riders for Life Insurance ????????????????
Accelerated Death Benefit Rider
This is a hugely important rider that's often included for free on many term life policies.
What it does: It allows you to access a portion of your own death benefit while you are still alive if you are diagnosed with a qualifying terminal illness. This money can be used to pay for medical treatments, cover bills, or handle end-of-life care, relieving a massive financial burden on your family.
Waiver of Premium Rider
What it does: If you become totally disabled and can no longer work, this rider will pay your life insurance premiums for you. This ensures that your valuable coverage doesn't lapse at a time when you can least afford it.
Child Term Rider
What it does: For a very low cost, this rider adds a small amount of term life insurance coverage for all of your children (present and future) under your single policy. It's a simple and affordable way to get some protection for your kids without having to buy a separate policy for each of them.
Common Add-ons for Homeowners Insurance ????
Water Backup and Sump Pump Overflow
A standard homeowners policy does not cover damage from a backed-up sewer line or a failed sump pump—a very common and very messy problem.
What it does: This is a must-have, inexpensive add-on for any homeowner with a basement. It specifically covers the cost to repair damage and clean up the mess from a sewer or drain backup.
Scheduled Personal Property
Your standard policy has limited coverage amounts for high-value items (usually around $1,500 for a category like jewelry).
What it does: This rider allows you to "schedule," or individually list, specific valuable items—like an engagement ring, a fine art collection, or expensive cameras—to insure them for their full appraised value.
Identity Theft Protection
What it does: This add-on helps you recover from the nightmare of identity theft. It typically covers the costs associated with restoring your identity, such as legal fees, lost wages for time off work, and credit monitoring services.
Common Add-ons for Auto Insurance ????
Rental Reimbursement
What it does: If your car is in the shop for repairs after a covered accident, this add-on helps pay for a rental car so you're not left without transportation.
Roadside Assistance / Towing and Labor
What it does: This cheap add-on can be a lifesaver if you get a flat tire, run out of gas, lock your keys in the car, or need a tow. It's often cheaper than paying for a separate AAA membership.
Gap Insurance
This is essential if you have a loan or lease on a new car.
What it does: Cars depreciate the second you drive them off the lot. If your new car is totaled in an accident, your standard policy will only pay you what the car is currently worth (its actual cash value). This might be less than what you still owe on your loan. Gap insurance pays the difference, so you're not stuck making payments on a car you no longer have.
Riders and add-ons are powerful tools for personalizing your protection. Ask your agent about which ones make the most sense for you—a few extra dollars a month can often add a huge amount of valuable coverage.
Insurance riders (also called add-ons or endorsements) are like those upgrades. They are optional coverages you can add to your base policy to customize it, fill in critical gaps, and get protection that's perfectly tailored to your life. Here are some of the most common and valuable ones.
Common Riders for Life Insurance ????????????????
Accelerated Death Benefit Rider
This is a hugely important rider that's often included for free on many term life policies.
What it does: It allows you to access a portion of your own death benefit while you are still alive if you are diagnosed with a qualifying terminal illness. This money can be used to pay for medical treatments, cover bills, or handle end-of-life care, relieving a massive financial burden on your family.
Waiver of Premium Rider
What it does: If you become totally disabled and can no longer work, this rider will pay your life insurance premiums for you. This ensures that your valuable coverage doesn't lapse at a time when you can least afford it.
Child Term Rider
What it does: For a very low cost, this rider adds a small amount of term life insurance coverage for all of your children (present and future) under your single policy. It's a simple and affordable way to get some protection for your kids without having to buy a separate policy for each of them.
Common Add-ons for Homeowners Insurance ????
Water Backup and Sump Pump Overflow
A standard homeowners policy does not cover damage from a backed-up sewer line or a failed sump pump—a very common and very messy problem.
What it does: This is a must-have, inexpensive add-on for any homeowner with a basement. It specifically covers the cost to repair damage and clean up the mess from a sewer or drain backup.
Scheduled Personal Property
Your standard policy has limited coverage amounts for high-value items (usually around $1,500 for a category like jewelry).
What it does: This rider allows you to "schedule," or individually list, specific valuable items—like an engagement ring, a fine art collection, or expensive cameras—to insure them for their full appraised value.
Identity Theft Protection
What it does: This add-on helps you recover from the nightmare of identity theft. It typically covers the costs associated with restoring your identity, such as legal fees, lost wages for time off work, and credit monitoring services.
Common Add-ons for Auto Insurance ????
Rental Reimbursement
What it does: If your car is in the shop for repairs after a covered accident, this add-on helps pay for a rental car so you're not left without transportation.
Roadside Assistance / Towing and Labor
What it does: This cheap add-on can be a lifesaver if you get a flat tire, run out of gas, lock your keys in the car, or need a tow. It's often cheaper than paying for a separate AAA membership.
Gap Insurance
This is essential if you have a loan or lease on a new car.
What it does: Cars depreciate the second you drive them off the lot. If your new car is totaled in an accident, your standard policy will only pay you what the car is currently worth (its actual cash value). This might be less than what you still owe on your loan. Gap insurance pays the difference, so you're not stuck making payments on a car you no longer have.
Riders and add-ons are powerful tools for personalizing your protection. Ask your agent about which ones make the most sense for you—a few extra dollars a month can often add a huge amount of valuable coverage.