• Scott Nelson-Archer

Future Increase Option Rider Explained

Updated: Sep 14, 2020



The Future Increase Option Rider is a favorite for medical residents and fellows who are just beginning their training. It allows them to purchase a smaller, cheaper policy with the option to increase their disability benefit as their income begins to increase. This means that after they are finished with training, they’ll be able to exercise their Future Increase Option, giving them more coverage to help protect their rising income!


You may hear this rider being referred to by different names and/or acronyms. For example, Ohio National refers to the option as the Guarantee of Physical Insurability Rider (GPI), while Ameritas calls it the Future Increase Option, or FIO.


The Future Increase Option Rider allows the insured to purchase additional insurance coverage under an existing disability policy. This gives the policyholder the opportunity to increase their coverage with evidence of financial insurability without having to undergo any additional medical underwriting! In other words, if the policyowner were to develop a health issue – which may affect their approval for a new policy — they’ll still be able to exercise their Future Increase Option Rider without any further medical underwriting.


Most carriers have a future increase option available, but they sometimes have their own rules and regulations surrounding it. For example, some carriers give you the option to exercise your FIO once a year on your policy anniversary, while another carrier may only allow you to exercise the option every 3 years. Therefore, you’ll want to be sure and get all the details regarding the rider before applying for or exercising it.


One thing is for certain: no matter what you call it or which carrier you decide to go with, this rider gives the policyowner the guaranteed ability to increase their benefits in the future without any additional medical questioning or exams. Talk to your agent today about whether the Future Increase Option Rider is the right option for you!