Final answer:
The correct answer is option D. Term.
Step-by-step explanation:
Children's riders attached to whole life policies are typically issued as Term insurance. This type of insurance is designed to provide additional coverage for children up to a certain age or until they are eligible for their own individual policies. It is an additional benefit that can be added to the primary insured's whole life policy, essentially extending coverage to the children for a specified term period.
Cash-value life insurance, like whole life insurance, includes both a death benefit and a cash value component. The cash value acts as a savings account that can grow over time, from which the policyholder can borrow or make withdrawals.
However, the children's rider does not contribute to this cash value; instead, it offers a death benefit for a specified term at an additional cost. These riders are convenient for providing coverage for multiple children under a single policy.