Which statement about the AMB rider is true?

The AMB (Additional Monthly Benefit) rider is designed to provide extra financial support during the initial phase of a disability, specifically in the first year. This is particularly crucial as some disability policies may require a waiting period before benefits kick in, known as the elimination period. During this time, insured individuals may find themselves in a difficult financial situation, as they are unable to work due to their disability but do not yet receive any benefits from their policy. The AMB rider offers additional monthly benefits to help alleviate this burden, thus assisting insured parties in meeting their financial obligations during that critical first year.

The other options do not accurately describe the nature and purpose of the AMB rider. It is not limited to government benefits, nor is it mandated for all disability policies. Additionally, it does not eliminate the elimination period; rather, it provides supplementary benefits during that time, emphasizing its role in enhancing the support received by beneficiaries when they need it most.