An Accelerated Death Benefit (ADB), also known as a terminal illness rider, is a type of life insurance policy provision which allows policyowners with shortened life expectancies due to a terminal illness to access a portion of their death benefit while still living. For this reason, some insurers refer to ADBs as living benefits riders. While news of a terminal illness or other conditions can be extraordinarily painful and raise innumerable concerns about your and your loved ones’ financial future, an ADB can be a valuable option for those in need of liquidity.
ADBs include terminal, critical, and chronic illness riders. To qualify for these living benefits, policyowners must meet certain health criteria; information that your physician can assist with.