Which of the following benefits does a policy rider typically provide?

A policy rider typically provides extra benefits for specific circumstances, which enhances the coverage of the base policy. Riders are customized options that can be added to an insurance policy to modify its terms and expand protection in particular situations. For example, a common rider in life insurance might include an accelerated death benefit rider, allowing the insured to access a portion of the death benefit while still alive if they are diagnosed with a terminal illness. This customization allows policyholders to tailor their insurance to better meet their unique needs or to address specific risks they may face.

The other options do not accurately describe the primary function of a rider. Policies may include coverage for automobile accidents through standard provisions rather than a rider, and lower premiums for high-risk individuals are usually achieved through underwriting processes rather than riders. Immediate payout upon policy activation is more characteristic of certain types of insurance products rather than being a function of riders, which are used to enhance existing benefits rather than activate immediate payments.