Which feature does the Non Family Insureds rider include?

The Non Family Insureds rider allows for the addition of other individuals as insureds on a life insurance policy, typically those who are not related to the policyowner. This feature is especially useful in situations where the policyholder wishes to cover key individuals who are integral to a business or partnership, but who may not be family members.

This rider gives the policyowner the flexibility to change the insured on the policy, provided that the new insured meets certain insurability requirements. This means that the insurer will assess the risk associated with the new individual to determine if they qualify for coverage under the policy. This is significant because it allows policyholders to keep their insurance relevant to changes in their personal or professional lives, adapting to new circumstances by including individuals who have become important over time.

The focus on insurability is crucial in insurance products, as insurers must mitigate their risk by ensuring that the individuals they are covering do not present excessive risk to the policy. This is fundamental to how life insurance operates and ensures that the financial stability of the insurance company is maintained.