What is a common purpose of insurance riders?

A common purpose of insurance riders is to modify existing policy terms or enhance coverage, which aligns with the choice of enhancing the overall insurance policy by adding specific protections or benefits. Riders serve as additional provisions that can be added onto a standard insurance policy to tailor the coverage to better fit an individual's unique needs. For example, a policyholder may add a rider for critical illness coverage, which would provide financial benefits in the event of a specified serious health condition, thereby expanding the protection offered by the base policy.

Riders are particularly beneficial because they allow for customization without the need to purchase a completely new policy. By incorporating riders, policyholders can ensure they are adequately covered for specific risks or needs that are not addressed in the base contract.

The other options do not accurately reflect the purpose of insurance riders. For instance, increasing premiums is a consequence of adding enhancements, not the aim of the riders themselves. Providing legal advice is outside the scope of what insurance riders do; they are designed for coverage enhancement, not legal guidance. Lastly, while limiting liabilities might relate to the overall insurance contract, it does not apply specifically to the purpose of riders, which focus more on adding benefits rather than restricting coverage.