Simple Inflation Rider — a long-term care (LTC) insurance policy rider that increases the benefits provided by a fixed amount per year. An example of how the simple inflation rider works is: if the policy maximum daily benefit was $100 and the insured had a 5 percent simple inflation rider, the maximum daily benefit would increase by $5.00 per year. Therefore, in year 2, it would be $105, in year 3 $110, in year 4 $115, etc. The difference between a compound and simple inflation rider is not significant in earlier years but becomes greater as time goes on.