What does a rider do in an insurance policy?

A rider in an insurance policy serves to add specific benefits or coverage to the original policy. This allows policyholders to customize their insurance coverage to better fit their individual needs. For instance, if someone has a homeowner's insurance policy and wants coverage for jewelry or art collections, they might add a rider that specifically covers those items.

Riders can address unique risks or provide additional protection that isn’t included in the standard policy, enhancing the overall scope of coverage. This customization makes riders a valuable tool for ensuring that policyholders are adequately protected according to their specific risks and requirements.

The other options do not accurately reflect the function of a rider. For example, while a rider can potentially increase premium costs, it does not inherently do so to a significant extent, nor does it cancel the original policy or provide a summary of existing coverages. A rider is fundamentally about extending or refining coverage rather than altering the basic structure of the policy itself.