How do options differ from riders in a life insurance policy?

The distinction between options and riders in a life insurance policy primarily centers on their roles and functions within the policy framework. Options are indeed choices that policyholders can select within the existing structure of the policy, allowing them to customize various aspects of their coverage—such as premium payment frequency or payment options upon the insured's death. This customization enables policyholders to tailor their insurance to better meet their specific financial needs and goals.

On the other hand, riders are additional benefits added to the base policy, providing extra coverage or features that are not included as standard. Riders often enhance the policy by addressing specific needs, such as accelerated death benefits or disability income.

This understanding highlights how each contributes differently to an insurance policy. The correct answer captures this relationship accurately by stating that options enable choices within the policy while riders add supplemental benefits.