An insured's inability to perform two or more activities of daily living may trigger which type of policy rider?

The correct response is linked to the nature and purpose of a long-term care policy rider, which is specifically designed to provide benefits when an individual is unable to perform two or more activities of daily living (ADLs). These activities typically include tasks such as bathing, dressing, eating, transferring, toileting, and continence.

When an insured cannot perform these ADLs, it signifies a level of impairment necessitating assistance or care. The long-term care policy rider activates to cover the costs associated with hiring caregivers, moving to a nursing home, or receiving other forms of long-term assistance. This rider plays a crucial role in financial planning as it helps alleviate the burden of costs related to in-home or institutional care, which can be significant.

In contrast, the other options do not specifically relate to the inability to perform ADLs. A critical illness policy generally provides a lump-sum benefit upon diagnosis of serious illnesses like cancer or heart disease but does not connect directly to daily living activities. An accidental death policy focuses on providing a benefit in the event of death due to an accident, lacking any provisions for daily living assistance or long-term care. Lastly, a disability income policy pays income benefits when an insured cannot work due to illness or injury, but it