Pannónia Premium Assistance Rider in Case of Death
Premium Assistance Riders will provide your loved ones with the policy’s face value at exactly the time they need it the most.
The Pannónia Premium Assistance Rider in Case of Death may only be purchased with Pannónia Unit-Linked Life Insurance and Pannónia Term Life Insurance. The insurer will assist the policyholder with the payment of premiums if the insured person designated in the rider policy dies. In other words, the insurer will waive the remaining premiums on both the main policy (unit-linked or term insurance) and the related riders (accident benefit rider).
We recommend the purchase of the premium assistance rider especially if:
- the policyholder and the insured are not the same
- there are several insured persons
- parents intend to provide a sound financial basis for their children with Pannónia Unit-Linked Life Insurance
- a husband and wife intend to provide a sound financial basis for their retirement years by purchasing Pannónia Unit-Linked Life Insurance
If the Policyholder and the Insured Persons are not the Same
It is not uncommon that the policyholder and the insured are not the same (which means the premiums are paid by someone other than the beneficiary). In such cases, the policyholder’s death during the term of the policy can entail the risk that the insured (who may in such a case replace the policyholder) is unable to pay the insurance premiums.
Such a danger can be avoided if the policyholder buys a premium assistance rider for themself. Such a rider would mean that insurance coverage would continue even without further payment of the premiums, since the insurer would waive the premiums.
Joint Life Insurance
If there are two beneficiaries in a term life insurance or unit-linked life insurance policy and the premium assistance rider has been purchased for both of them, then, should one of them die, the insurance coverage would remain in force for the other beneficiary because the insurer would waive the premiums.
If Parents Want to Provide for their Children’s Future with Unit-Linked Life Insurance
If you purchase any of the Pannónia unit-linked life insurance products, you might wish to consider complementing it with a premium assistance rider in case of death. This is especially true if you are a parent who would like to provide for your children’s future (for instance, by saving for the children’s education or home purchase). In such a case, it is advisable to time the maturity of a unit-linked insurance policy to the period when your children might wish to use those savings. If you complement your unit-linked life insurance with a premium assistance rider, you can rest assured that the money will be available for your children at the time they need it, even if you or the other parent passes away earlier (and cannot, therefore, pay the premiums). If this happens, the insurer will waive the premiums for the remaining time and pay the face value to the child (beneficiary) at maturity.
If You Want to Save for your Retirement Years
We also recommend the premium assistance rider for couples who have purchased a Pannónia Unit-Linked Life Insurance policy for two persons to ensure their own secure livelihood during their retirement years. In such cases, we advise purchasing the premium assistance rider for both people because, should either of them pass away, it is uncertain whether the other will still be able to pay the premiums.
If both members of a married couple decide to complement their unit-linked insurance with a premium assistance rider, the insurer will waive the premiums if either the husband or wife dies. Consequently, the planned face value will certainly be available for the other insured by the time they retire.
