What is a rider in an insurance policy?

A rider in an insurance policy is an amendment that adds or modifies coverage in the policy. It serves as an integral part of customizing an insurance policy to meet the specific needs of the policyholder. For instance, a rider can provide additional coverage for specific items that are not fully covered under the standard terms of a policy, such as adding coverage for valuable jewelry in a homeowner's policy.

This adaptability makes riders valuable for policyholders who require specialized coverage that goes beyond the standard parameters outlined in their insurance contract. By implementing a rider, policyholders can enhance their protections, ensuring that they have the appropriate coverage for their unique situations. Riders can also clarify conditions under which certain coverages apply, making them an important tool for both insurers and insureds in navigating the complexities of insurance coverage.