Additional Death Benefit

DEFINITION of 'Additional Death Benefit'

An amount that is paid to the beneficiary of a life insurance contract that is separate from the original death benefit. The additional death benefit acts as an extra layer of payment in the event that a predefined situation occurs.

BREAKING DOWN 'Additional Death Benefit'

For example, let's assume that you have a life insurance policy worth $1 million. It is possible for the policy to pay an extra $1 million to your beneficiary in the event that you die within a certain age range.

There are many situations that will trigger an additional death benefit, so you may want to talk with your insurance company to see if there is a policy that is right for you.

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    Accidental life insurance is an inexpensive way of obtaining life insurance coverage for yourself or someone else in your ... Read Answer >>
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  5. How do I determine the face value of a life insurance policy?

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