A. ADB stands for Accelerated Death Benefit, it is payment from the insurance company in the event of a qualifying terminal illness.
Most Term life products include ADB rider free of cost and make it available in most states.
The maximum accelerated death amount is usually the less of the face amount or a percentage (e.g. 75%) of the policy's primary death benefit, less any policy loan.
The accelerated death benefit is treated as a lien, which accrues interest. Upon the death of the insured, the death benefit payable are reduced by the total accelerated death benefit lien.